Brits Aren’t Jolly About the New Employment Rights Bill
According to a fresh BCC study, business owners across the UK are clamping down on the pace at which Parliament is pushing the Employment Rights Bill through. They’re worried that the bill, coupled with a heavier tax load, could stall growth faster than a slow‑moving trolley in a traffic jam.
What the Research Says
- Speed concerns: Companies feel the bill is being rushed, leaving little room for proper assessment.
- Impact fears: Only 1 in 50 firms believe the trade‑union proposals will bring positive change.
- Business‑centric worries: SMEs fear a “double whammy” of higher costs and more bureaucracy.
This analysis comes right before the Employment Rights Bill enters the Report Stage in the House of Lords on Monday, 14 July.
Why SMEs Feel the Pinch
Jane Gratton, BCC’s Deputy Director of Public Policy, cautions that the “window for meaningful amendments is closing fast.”
“While the government has heard some concerns, the legislation still feels out of balance,” she says.
“Certain proposals could add to employer costs and complexity, especially hurting SMEs. And we might see unintended fallout that curbs job opportunities and the UK’s overall growth.”
Key Points That Need a Revisit
- Dismissal Rules: Changes could make it harder for companies to navigate hiring and firing.
- Union Ballot Thresholds: New thresholds may force businesses into a labyrinth of compliance.
- Zero‑Hour Contracts: These contracts remain a contentious issue for many firms.
What the Government Should Do
As Gratton puts it: “Growth relies on flexibility. Instead of adding blocks, the government should clear pathways for business innovation and productivity.” She urges a continueed, open engagement with the corporate world to ensure the bill is “proportionate, affordable, and right for both firms and their employees.”
Stay tuned for the bill’s progress—after all, if the process gets too slow, even the most patient businesses might start crying into their coffee.
