The new regulations on age discrimination and maternity leave have left many small firms feeling ‘overwhelmed and unsupported’, according to the Forum of Private Business (FPB).
Keith Chetwynd runs an engineering company in Atherstone, Warwickshire and says he is drowning in employment law.
“It stops me from wanting to employ people, unless it is absolutely necessary. This is my business, started 25 years ago, and we are now fighting stiff competition from abroad whilst struggling with more and more regulations at home.
“Employment law is difficult and you are left wondering whether or not you have got it right. The fear of tribunals and then subsequent appeals make you feel wary every day.”
Speaking about the launch of the FPB’s latest edition of its ‘Employment Guide’, Len Collinson, the organisation’s national chairman, spoke of increasing burden on employers.
“The owners and managers of small and medium-sized businesses rely on informality and closeness to employees in the running of their firm,” said Collinson.
“Employment regulations tend to mean paperwork, records and outside interventions. Misunderstandings can lead to costly and disruptive consequences.”
Collinson said that the complex nature of rules and regulations meant there was a greater risk of non-compliance for small firms due to their limited resources.
The FBP said that it is not surprising that the increase in new employment regulations has led to a growing number of employers facing disputes with their employees.
© Crimson Business Ltd. 2006