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Government 'may change unfair dismissal rules for small businesses'

Government 'may change unfair dismissal rules for small businesses'

The government is considering whether to alter the rules surrounding grievance claims based on allegations of unfair dismissal from a small company, it has been revealed.

According to Lord Young, the former governor of the BBC speaking to the network's Radio 4's Today programme, the Conservative-Liberal Democrat alliance is eager to review the current legislation for such organisations to determine if it should be changed.

Under present law, employees must have worked for a small or medium-sized enterprise (SME) for at least 12 months prior to becoming eligible to file a grievance complaint for unfair dismissal.

However, this may be altered as the official - who replaced Lord Sugar as the government's so-called enterprise tsar - has been asked by prime minister David Cameron to reduce the amount of red tape faced by the nation's SMEs and their members of staff.

"I want to find out what small business people themselves think about this and then we'll think about it," he added.
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Posted by Daniel Stevens