Business positive about employment law reforms

Recent research conducted by the Forum of Private Business has found that small business owners have responded positively to employment law reforms introduced by the coalition Government.

Over 50% of members of the Forum apparently believe the changes have led to fairer employment regulations, particularly in relation to recruitment and termination of employment. The introduction of settlement agreements and the ability to conduct simpler employee checks through the Disclosure and Barring Service have also been welcomed.

However, members are less positive about proposed changes to parental leave and the extended right to request flexible working, with 45% reporting that they expect these reforms to have a negative impact on how they run their businesses.

"On the whole Forum members have welcomed the direction the government is taking on employment law reform,” commented Alexander Jackman, Head of Policy at the Forum of Private Business. “Employment regulations have long been seen as weighted in favour of employees and it is good to see some balance returning.

"However, our members feel that further action is needed from the government on regulations around people management. Further reforms must recognise the nature of small businesses and government cannot regulate for regulation's sake. The Coalition government said it would always regulate as a last resort but that principle is being sidestepped on some policies. For instance, proposals on flexible working for employees will in practice impose structures that limit the flexibility of employers in managing their staff," he added.

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