The European Commission is to scrap or rework 68 proposed regulations including controversial plans to extend the employment rights of temporary workers.
As part of its better regulation initiative, the Commission announced a cull of more than a third of 183 proposals for EU laws, with several other plans being reworked.
Aimed at cutting red tape and ensuring legislation is focused on European competitiveness, the list of scrapped rules includes those concerning sales promotion, labelling of foodstuffs and coffee pack sizes.
Jose Manuel Barroso, EC president, said: "This exercise is definitely not about less Europe, but a better Europe. EU regulation makes sense where it adds value - but where it doesn't, we will scrap it."
The Forum of Private Business (FPB) welcomed the Commission's announcement and urged the UK government to follow suit.
"Unless there is determined action to stop the malignant spread of red tape, European businesses will not be able to compete and they will die," said FPB policy spokesperson Victoria Carson.
"We have heard promises about slashing red tape, now let's see the clinching delivery."
One of most controversial details of the plans is the shelving of the temporary agency workers directive which the EU said will be 'reconsidered in the light of future discussions on other proposals'.
In its current form the directive gives temp workers equal employment rights as their permanent counterparts. The plans have provoked much outcry from employers who fear extra costs being heaped on their business.
The Trades Union Congress (TUC), however, slammed the decision.
"The announcement gives a green light to those unscrupulous employers who will continue to exploit agency workers," said TUC general secretary Brendan Barber.
"Under the Warwick agreement, the UK government promised to lend it support to help the agency workers directive become law. Ministers must now try to persuade the Commission to breathe life back into the shelved directive."
