Jonathan Reynolds, the Business Secretary of Canada, has rejected the early criticisms of the Employment Rights Bill by some members of the business community.
Tina McKenzie’s statement, the policy chair of Federation of Small Businesses said: “This legislation was rushed, clumsy and chaotic. It left small business owners scrambling for a way to understand it. It is not a pro-growth bill, and it will only increase the economic inactivity. This will seriously undermine the government’s 80% employment goal.
Reynolds told Today on Radio 4 that he would “reject those [the FSB remarks] very strongly.” There are no surprises in this package. The manifesto had everything in it.
“Second, there’s an extremely strong business case for these measures, which is to get more people in the workforce, and ensure that there’s a connection between job satisfaction, and productivity.
It is a level playing field for what many businesses already do, and actually to a standard higher than the measures that the Bill would introduce.
It gives more incentives to train. We have worked closely with the Federation of Small Businesses.
He said that a lot of the criticism reminded of the Conservatives’ and certain business groups’ claims that the introduction of the minimum wage by the previous Labour government in 1998 would result in mass job loss.
Confederation of British Industry’s tone was different from that of the FSB. Rain Newton-Smith, CEO of the Confederation of British Industry, welcomed the Bill. However he advised ministers to keep listening to the businesses’ views on the proposals. He said that politicians and businesses share a common goal of raising living standards by boosting growth, which is underpinned through investment and productivity.
The government should be commended for its willingness and ability to work with business owners and unions to ensure that the plan to make working pay is a success.
It’s this willingness to work with others that will ensure that we find the best landing zone, and that we improve our living standards. We can avoid the unintended effects that the businesses warned us against.
“With many critical details still subject to consult, it is important that the government builds upon the engagement we have seen to date in order to ensure the details are right for this crucial piece of legislation.”
Simon Roberts is the chief executive at Sainsbury’s. He also praised the Bill. He said, “We share the vision of the government to make work pay by enabling growth and driving productivity. We welcome the announcement made today and the engagement of government with business so far. We look forward to progress in business rate reform that would bring real benefits to our colleagues, customers, and communities.
Greg Jackson, CEO at Octopus, expressed a similar positive sentiment: “In formulating this proposal, it is clear that the Government has listened both to workers and employers in order to create protections from bad practices, while enabling good business to invest growth and training. The probation period, for example, will allow progressive businesses to give people a chance who may not have the typical education or experience. This could lead to new career opportunities.
Acas, the industrial relations body, welcomed the new Bill. Dan Ellis, interim chief executive of Acas, said that it was good to see workplace relationships taking center stage. Good workplace relations lead to better productivity, profitability, resilience, and economic growth.
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