
The UK government has announced proposals to amend retained EU rules around employment legislation as part of ongoing post-Brexit divergence from mainland Europe.
Changes put forward including include reducing record keeping requirements and simplifying calculations of annual leave and holiday pay entitlements under the EU’s Working Time Regulations. Proposals would also streamline the process where workers are transferred to a new employer under TUPE Regulations.
The government estimates that businesses could save around £1 billion annually through reduced bureaucracy. Business Minister, Kevin Hollinrake said:
“These reforms ensure our employment regulations are fit for purpose while maintaining our strong record on workers’ rights, which are some of the highest in the world.
“Seizing these benefits of Brexit, including a saving of £1 billion for businesses, will support the private sector and workers alike and are vital to stimulating economic growth, innovation and job creation.“
Plans set to address concerns from businesses expressed in consultations earlier this year, as well as a consultation on how to make holiday entitlement clearer for those working irregular hours.
Martin McTague, National Chair of the Federation of Small Businesses, said of the plans to update employment legislation:
“We welcome these sensible changes, striking a balance for workers while offering clarity for employers. It’s good to see the Government cutting through excessive burdens without losing the benefits of regulations.
“We’re eager to see a system that’s clear-cut, cost-effective and easy for small businesses to roll out, so these announcements are a crucial step forward.”