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SMEs 'should be temporarily exempt from employment law changes'

SMEs 'should be temporarily exempt from employment law changes'

Forthcoming alterations to the UK's employment law should not apply to smaller companies immediately.

That is according to a spokeswoman from the Federation of Small Businesses (FSB), who believes that such organisations should be temporarily exempt from changes such as the extension of paternity leave and the abolition of the default retirement age (DRA).

The FSB official explained that these measures will simply lead to the nation's smaller firms with an increased amount of unwanted legislation, which would undermine their position assigned to them by the government as a key economic growth driver following the recession.

She noted that "red tape is one of the most burdensome and complex issues" faced by managers of small and medium-sized enterprises and these steps would do nothing to help change this fact.

Furthermore, the expert criticised the government for apparently removing large regulatory decisions - like the DRA - from its moratorium on domestic rulings for SMEs.

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Posted by Cheryl Bennett