UK businesses say employee rights gone too far

Six months since age discrimination was banned in the workplace, UK entrepreneurs are struggling with escalating employee rights legislation.

New research by entrepreneur think tank The Tenon Forum reveals that 70% of UK entrepreneurs feel that the balance of power has been shifted too far in favour of the employee. The legislation has added to a raft of government initiatives including paternity rights and sexual orientation.

But despite these concerns, many entrepreneurs are continuing to ask for candidates’ ages on job application forms, putting themselves at potential risk of costly discrimination claims. More than a quarter of entrepreneurs intend to continue asking for interviewees’ dates of birth.

Tenon’s research also reveals that owner-managed businesses are finding it increasingly difficult to find quality staff. 45% of entrepreneurs questioned find it difficult or very difficult to recruit the right people for their businesses. The industries struggling most with recruitment are the agriculture, mining and fishing sectors.

Particularly in demand are skilled manual workers, with 40% of respondents saying this group is the hardest to recruit. Tenon Forum members singled out the decline of apprenticeships as a major reason for the lack of these workers.

Michaela Johns, Director of Business Services at Tenon, commented: “Entrepreneurs are broadly in favour of measures which protect employees, but our findings show they feel under pressure from increasing workplace legislation. They are also finding it more and more difficult to recruit quality staff, which can only hinder the growth of the SME sector, though think tank members did note the positive impact of immigrant workers.

The Government must be wary of developing the kind of stringent employment laws which have strangled many businesses on the Continent and instead build a climate which enables enterprise to flourish.”