Cable slams ‘hire and fire culture’

Business Secretary Vince Cable has hit out at those who he says are calling for a “hire and fire culture” in Britain.

He told the Liberal Democrats party conference that the Government has implemented a number of measures to support free enterprise and cut unnecessary red tape while at the same time bolstering regulation where necessary.

“We have seen off the ‘head bangers’ who want a hire and fire culture and seem to find sacking people an aphrodisiac: totally irrelevant in a country with flexible labour markets which have created over a million private sector jobs in the last two years,” he said.

He went on to say that the coalition has supported progressive companies that promote worker involvement and share ownership, rather than push an entirely laissez-fare approach. Mr Cable’s comments stand in contrast to those made earlier this year by venture capitalist Adrian Beercroft, whose Government-commissioned report raised the possibility of businesses being able to sack workers and give them a payout on the condition of them never bringing a tribunal claim against the firm. Such a system – known as the “no-fault dismissal plan” – would enable companies to fire workers more easily without facing the consequential risk of tribunals.

Mr Cable on the other hand claimed earlier this month that the Government is seeking to “have it both ways” in striking a balance between making it simpler for employers to sack staff while at the same time protecting employee rights.

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