Businesses have welcomed controversial comments by secretary of state for business, enterprise and regulatory reform John Hutton, who said Britain has reached ‘the end of the era’ of considering new employment regulation.
Speaking to The Fabian Society on Thursday, Hutton said legislation was not the only way to deal with exploitation in the workplace.
He pledged to place increasing emphasis on creating the opportunity for employees and businesses to work out what is best for their own circumstances, adding: “Having a multiplicity of employment rights does not amount to a great deal if you can’t get a job in the first place.”
The comments provoked fury among trade unions, who called Hutton ‘dangerously complacent’.
Brendan Barber, general secretary of the Trades Union Congress, denied the regulatory framework is now ‘fully fit for purpose’.
"The TUC has pointed to key weaknesses in the law that are ruthlessly exploited by rogue employers.
“The government needs to show a new determination and courage to tackle workplace injustice, and good employers have nothing to fear from this," he told The Guardian yesterday.
However, the British Chambers of Commerce (BCC), applauded the comments.
“The vast majority of workplace issues can already be resolved between employer and employee with a bit of common sense and without the need for further regulation,” said Chris Hannant, head of policy at the BCC.
“There are laws currently in place to ensure fairness in the workplace and a better enforcement of the existing regulations is where the government should be focusing its efforts.
“The cumulative regulatory burden on business has now reached £66 billion since 1998, and churning out rafts of fresh legislation will only serve to damage business competitiveness in uncertain economic times,” he said.
© Crimson Business Ltd. 2008
