The Department of Trade and Industry (DTI) has revealed the two set dates of the year which UK employment law will be introduced, claiming the move will provide small businesses with stability and certainty when planning for the impact of new regulations.
From this year, domestic changes to employment law will only be introduced on 6 April, to coincide with the start of the tax year, and 1 October, when the national minimum wage is reviewed.
The DTI said that the decision will help employers to implement and respond to changes in the law, and will provide a greater clarity to those who are unsure or unaware of upcoming amendments.
As reported by Startups.co.uk last week, business groups reacted favourably to the government’s announcement that there will be set commencement dates, claiming that the move will help small firms get to grips with red tape.
However, as the scheme only applies to UK law, the increasing amounts of European Union employment legislation will not be affected by the restrictions.
Gerry Sutcliffe, the employment relations minister, said that the government had made great strides in the last few years to modernise employment law and create a workplace climate of partnership.
“We want to continue to work closely with business and employees to make it easier to implement those changes and ensure people are aware of them – today’s publication is a statement of our commitment to that partnership.
“It is particularly good news for small businesses that don’t have the resources to monitor employment law changes,” he said.
Martin Wyn Griffith, head of the Small Business Service, said he welcomed the DTI’s announcement.
“This is what businesses say they want. It also reflects the commitment that the government has given in its Action Plan for Small Businesses. To look at extending this approach to regulation more generally,” he said.
John Walker, of the Federation of Small Businesses, also welcomed the move, but warned that it shouldn’t mean that there is an “open door” to more regulations.
“Common commencement dates are a good idea for small firms. They offer certainty and stability to people who run business. But they shouldn’t be seen as an open door for yet more regulations.
“Most businesses with less than 20 employees do not have a dedicated HR manager, and so it is down to the owners themselves to monitor changes in employment law.
“Another consequence of this move is that it will show just how many changes small employers have to deal with each year,” he added.