30 November 2011

Will proposed employment law changes lead to a diversity bypass in the workplace?

The recent employment law changes proposed by the Business Secretary Vince Cable have been described as the biggest shake up of the employment law system for decades. A potential loss of unfair dismissal rights, changes to tribunal entitlements and the ability to reduce the consultation process when a company is faced with redundancies would be major steps.

The government says that by simplifying the system it will deliver savings to business of more than £10m a year. And the changes have been well received by the British Chamber of Commerce and the Institute for Economic Affairs.

So what about employee protection? They have the right to feel secure in a job but what if they work in a company that doesn’t really care about human resources? Will the balance of power shift back to the employer? Will it be easier for unscrupulous companies to hire and fire as they please?

The clear message from Government is that employment laws will be less onerous in the future. But this message could obscure some important details. If employers forget their responsibilities to treat employees equally they could find unfair dismissal claims replaced with claims for ‘discrimination’ on the grounds of race, sex, sexual orientation, religion or belief, age or disability under the Equalities Act of 2010; a retrograde step that would undermine the Governments initial objective of giving more flexibility to businesses. A clear communications strategy – to present the general direction of policy under the theme of ‘cutting red tape’ - should be underpinned by a clear message that employers still have responsibilities to uphold.


Ashnoor Nanji
Consultant
ashnoor@linstockcommunications.com