Why is the Government still over-regulating ?

The Government’s proposals to help small firms cope with the credit tightening have been well publicised, and I welcome many of these, but I’m increasingly disturbed by the raft of new employment laws that Ministers are planning to introduce this year right in the middle of the recession.

The plans include new time off entitlements for some workers, an extension to the right of employees to request flexible working, a new right for employees to request time off for training and a new Equality Bill which is likely to require many firms to carry out gender pay audits.

It’s hardly surprising the financial crisis and the ever deepening recession have overshadowed these new laws, but I’m convinced the Government needs to pay more attention to what it’s doing on this front. A few months ago Business Secretary Peter Mandelson talked about a moratorium on business regulation. That was a great idea, but what’s happened to it? If anything Ministers are in regulatory overdrive. This is a big mistake because the effect of all these employment proposals will be to make it more expensive for firms to keep staff on. If the Government wants to save jobs it needs to drop these plans now.

Comments

[David Calvert]

Miles, I agree with you entirely but we are all, understandably, regularly criticising this government to no avail! Isn't it time Cameron stopped 'pussyfooting' and did something helpful like tabling a vote of no confidence and forcing a general election - ever since Blair walked through the door of no.10 he and his successor have been steadily ruining the past, present and future of this country and it's horrifying to think that Brown is going to be allowed to carry on to the end of the full term available to him! - by the way, given his record, how can we believe anything that Peter Mandelson says!!

[John Walmsley]

I've just read the Think small, win big article in the January 2009 Director magazine by Lord Mandelson. I immediately recalled the mid-90s DTI initiative Think big, Buy small which totally failed to recognise how government departments actually go about their business. I hope that lessons have been learned from that initiative.