North Wales MS Mark Isherwood has today raised concerns over the UK Government’s Employment Rights Bill, referring to a survey which shows that 92% of small businesses are worried about it.
In October last year, the Labour UK Government unveiled the Employment Rights Bill, which it said would “help deliver economic security and growth to businesses, workers and communities across the UK”.
However, questioning the Minister for Culture, Skills and Social Partnership, Jack Sargeant MS, in today’s meeting of the Welsh Parliament, Mr Isherwood challenged this, referring to a survey which shows that businesses are concerned about the negative impact it could have on them.
Speaking in the Senedd Chamber, he said:
“A succession of surveys has shown that corporate confidence has plummeted in the wake of Rachel Reeves's budget, and the recruitment downturn is now worse than the aftermath of the Global Financial Crisis. The latest StatsWales figures show that Wales already has lower employment rates and higher unemployment and economic activity rates than for the UK as a whole.
“Against this background, how can the UK Labour Government's Employment Rights Bill help rather than further hinder employment in Wales, when, according to the Confederation of British Industry's latest Growth Indicator, private sector firms expect another significant fall in activity, when the Institute of Directors's survey of members found that 57 per cent of businesses are less likely to hire new workers due to the Employment Rights Bill, and when the Federation of Small Businesses has warned that 92 per cent of small businesses are worried about the Employment Rights Bill, 67per cent will recruit fewer staff, 56 per cent will cancel or scale down plans for investing, and 32 per cent will reduce headcount?”
In his response, the Minister stated that “Stronger working protections will encourage a more productive workplace and business environment”.
Speaking after the meeting, Mr Isherwood said:
“Flourishing businesses drive economic growth and rising living standards, creating a brighter future for all. If they are not listened to, this legislation will drive unemployment and there are no employment rights on the dole.”