UK ‘needs flexible employment laws’

Ministers need to “fundamentally rethink” the employment laws which apply to firms in the UK, according to a key business group. Instead of focusing as much on formal legislation, the Confederation of British Industry (CBI) suggests the Government should learn lessons from the economic downturn, by introducing codes of practice and guidance. The organisation noted that a flexible approach was adopted by many companies and employees during the recession, which helped to reduce the number of job losses. A less rigid approach should also be taken with regards to European Union directives, the CBI suggested. John Cridland, its director general, argues the Government does not need to go into so much detail when coming up with employment law. He said: “Good communication helped companies and employees work together to make difficult changes to working patterns to get through the recession. “These lessons are particularly important now the public sector is facing similar challenges as a result of measures to cut the deficit.” Justin Govier, Partner and Employment Law Specialist at IBB Solicitors, comments:

“During this recession businesses (and particularly SMEs) have, perhaps for the first time, genuinely seen the benefits of flexible working arrangements in driving down costs, pushing up productivity, allowing more efficient provision of services and avoiding redundancies. It is ironic that at a time when many felt that employers would stop flexible arrangements, hiding behind “business needs” as an excuse; in fact the real business needs are the reason why flexible working arrangements have become so prevalent.”

Our Employment team provides advice on the employment aspects of all major business decisions. For advice, contact a member of the team: call us on 08456 381381 or email employment@ibblaw.co.uk.