Dated: 23 May 2011
Responding to the CIPD’s claim in today’s Financial Times that the business lobby is wrong to call for some deregulation of employment law, Miles Templeman, Director General of the Institute of Directors, said:
“People should take the CIPD’s arguments against deregulation with a big pinch of salt. The HR lobby is the biggest vested interest of all when it comes to the subject of employment law. When governments create complex regulation, employers are forced to increase their HR budgets to ensure compliance. The fact that excessive employment regulation imposes large costs on employers and inhibits their ability to grow seems to be a matter of indifference to the HR lobby.
He added:
“Excessive employment regulation is one of the most damaging features of the current UK business environment and the coalition is right to look at how we can deregulate. SME’s, many of which can’t afford to employ HR staff, particularly struggle with employment law. The government needs to make it easier for businesses to employ and manage staff so that we can improve our competitiveness internationally and boost private sector growth. There is clear scope for making some big improvements to regulations without disadvantaging workers.”
