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CSP publishes report outlining job creation proposals

Employment Law & HR update 17/11/2011

A new report published by the Centre for Policy Studies has outlined the regulatory reforms necessary for job creation within the private sector.

The report, entitled 'Escaping the Strait Jacket - Ten regulatory reforms to create jobs,' and compiled by Dominic Raab MP, calls upon the Coalition to make job creation their top economic and social priority following deficit reduction.

Mr Raab explained that, by the end of this year, UK businesses will have spent £112 billion in order to comply with the admin related to employment legislation, and that such costs are 'often crushing the spirit of enterprise.'

The MP also suggested that there was a 'trade-off' between denying job opportunities to the numerous jobs seekers and increasing the right and entitlements of existing workers.

The report went on to outline three reforms that could be made to existing EU agreements in order to boost jobs creation. These included abolishing the Agency Workers Regulations 2010 and the Working Time Regulations 1998 and reforming TUPE to help promote successful business models.

Seven other suggestions relating to the reform of domestic regulations were also made, which included creating a 'no fault dismissal' for unproductive workers following two years of employment, which would be in operation alongside instances of unfair dismissal.

Other proposals included excluding small firms from numerous regulations such as pension auto-enrolment and minimum wage rules for workers aged under 21, and encouraging a greater use of alternative dispute resolution in a bid to lower the number of claims faced by businesses, which can prove a barrier to growth.

 

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