Employment Rights Bill could make businesses less likely to hire, says Shropshire expert
Government proposals to give workers more rights from day one could put some employers off hiring new staff, a Shropshire-based employment law expert said today.
Alasdair Hobbs, managing director of Human Results in Telford, said the reforms to workers’ rights announced by Labour in the run-up to the general election were a worry for many businesses, particularly SMEs.
He said: “The Employment Rights Bill, which was promised within the new Government’s first 100 days, could have an impact on the market.
“Employing new members of staff is always a big decision and it’s likely that businesses, especially SMEs, simply won’t employ unless they really need to.
“As with every piece of legislation, the devil will be in the detail, and we are waiting to see exactly what changes will be introduced so we can advise our clients, but there is plenty of worry out there.
“Indeed, more than half of 715 businesses recently polled by the Institute of Directors said they would be less likely to hire new staff if these reforms came in, which is a stark message about how many employers are feeling.”
Mr Hobbs said it was important for the Government to confirm the details of the reforms sooner rather than later to give businesses some clarity.
He added: “If the Government is going to introduce these measures in its first 100 days, it doesn’t have much time left.
“The one thing all businesses crave is stability, so it’s vital that we are given clear direction about exactly what the reforms will entail, and when they will be introduced, as soon as possible.”
Mr Hobbs has been in practice for more than 30 years, specialising in employment law. He works with businesses all over Shropshire and across the country advising on HR and employment issues.