The UK government was correct to withstand EU pressure to surrender its right to opt-out of the Working Time Directive (WTD), the Confederation of British Industry (CBI) has said.
Speaking after EU ministers had again failed to agree a deal that would see the UK lose its right to opt-out of the directive, CBI director general Sir Digby Jones said that Europe must act to avoid “stagnation” in the face of more flexible labour markets.
He added that the UK must “hold its nerve” to avoid caveats diluting the principle of the ability to opt-out.
Under the current WTD, the number of hours European employees can work is limited to 48 hours per week. However, UK employers have the choice to opt-out if their employees agree, allowing them to work overtime.
France and Sweden have long campaigned for the opt-out clause to be scrapped.
The CBI’s statement was mirrored by the Forum of Private Business (FPB), which stated that the opt-out is important for employees who want to work longer hours to earn a higher wage.
It added that the right to work longer hours is just as important as protecting employees from exploitation.
Commenting on the WTD, Sir Digby Jones said: “The choice is simple: flexibility or stagnation. Faced with the meteoric rise of China and India, Europe has to decide between a responsive and flexible labour market or an oversupplied and restrictive one. The ability for individuals to opt out from the 48 hour working week is a vital part of the UK's flexible labour market.”
