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SMEs struggle with employment law

Some 94 per cent of small and medium sized enterprises (SMEs) believe the complexity of UK employment law is a problem.

Some 94 per cent of small and medium sized enterprises (SMEs) believe the complexity of UK employment law is a problem.

The survey of 250 SME managing directors and owners by Illuma Research for career management consultancy Right Management found that the majority of small businesses, or 87 per cent, feel they comply with legislation.

The further south in the UK small businesses are based, the more companies feel they act in accordance with employment law, despite its complexity.

In Scotland, the figure is 84 per cent, increasing to 90 per cent of SMEs in London and the south east who feel they comply with employment regulations.

That leaves some companies failing to comply, with the complexity of legislation making it harder for them to conform.

Right Management’s managing director, Jayne Carrington, says, ‘The government should allow companies to focus on developing their business rather than focusing on complex legislation. That’s vital if SMEs are to be more successful in the future.’

Carrington supports David Cameron’s planned review into employment law that could see SMEs excused from some of the most stringent employment legislation, calling it a ‘positive step’.

See also: Free advice on employment law

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