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24 September 2011

Temp rules ‘burden’ for firms

 

The smallest businesses will face the biggest problems in satisfying new European Union rules giving greater rights to temporary staff, according to business groups and human resource experts.

 

The controversial agency workers directive, which states that temporary workers must have equal rights to permanent staff once they have worked for a business for 12 weeks, will become law in the UK on October 1.

 

The federation of small businesses said the regulations had been “gold-plated” by UK lawmakers being over-prescriptive. It would like to see the smallest firms exempted, to save them the extra cost and administration.

 

John Walker, FSB national chairmen, said: “Small firms rarely take on agency staff, and these just add to the burden of red tape placed on small businesses.”

 

Joanne Vose of Red Elephant HR, which runs training courses covering the new legislation, claims some business owners have told her they will stop using agency workers after the rule change.

 

 

 

Source: FT 24.09.2011

 

*Article for guidance only. Professional advice should be obtained to ensure that all circumstances are assessed in providing a complete answer.