Downing Street Says » Employment law

» Wednesday, November 23, 2011

Employment law

Asked if, like the Business Secretary, the Prime Minister was 50:50 on whether to scrap the laws on unfair dismissal, the PMS said the Business Secretary had set out the Government’s position. He said the Government was looking across the piece at what could be done on employment law and regulation. The objective was not to reduce employment protection, but to reduce the burden on business. He said the proposals set out that day were designed to reduce burdens on employers and make it easier for them to take on staff. He added that the Government would be having a further look at rules affecting the smallest companies and that judgement would be made in light of proper analysis of the evidence.

Asked if the Prime Minister thought employers were abusing the system, the PMS said the system as it stood was not working to the benefit of either employees or employers, and there were changes that could be made to the benefit of both. Asked why the Government was calling for evidence rather than taking action, the PMS said the Government had announced important changes including merging, simplifying or scrapping more than 70 employment regulations. He added that it was clear that regulation had a particular impact on the smallest businesses and their decisions to employ staff, so it made sense to look further at this and make judgements based on evidence.

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