The future of employment law

Wake Smith Solicitors 27 April 2010

How many people have actually read a political party manifesto? Now available online and in all good book shops, the manifesto contains the colourful hopes and intentions of a party encased in a glossy cover. Ranging from a featherweight 78 pages (Labour) to the heavyweight 130 pages (Tories), the reality is that people do not have the time nor, dare I say it, the inclination to read such hollow promises cover to cover.

Employers up and down the country are holding their breath in anticipation of who may be moving into Downing Street on 6 May. Employment policy frequently comes under fire from employers and organisations like the CBI, for over-regulating businesses and suffocating them with rules and regulations. However what would employment law look like if each of the 3 main parties made it first past the post?

Surprisingly, on the basis of their manifestos, employment polices are remarkably similar. Brown, Cameron and Clegg are all keen to promote family values and focus on the importance of spending time with a young family. Each believe that the maternity/paternity leave system needs overhauling so that the time can be shared amongst both parents, although none address how this might impact on fledgling businesses.

Whilst the Conservatives believe that the right to request flexible working should be extended to every parent with a child under 18, the Lib Dems have taken that one step further, extending the right to request flexible working to all employees, making it easier for grandparents, for example, to take on a caring role. The phrase "flexible working" tends to strike fear into employers hearts, not because they don't support the concept but simply because they are being left to figure out how they can accommodate flexible working whilst maintaining a healthy bottom line.

All three parties are looking to scrap the default retirement age of 65, enabling workers to carry on well into old age. An ageing workforce coupled with the introduction of the Compulsory Pension Scheme may present further financial difficulties for employers.

Equality in pay is another area where the parties have aligned their policies. Labour aims to encourage employers to make greater use of pay reviews and equality checks to eliminate pay inequality. Whilst the Tories are proposing introducing pay audits on any employer found to be discriminating on the basis of gender, the Lib Dems are pushing the idea further, proposing fair pay audits for every employer with over 100 employees.

Until the 6 May no one knows how the reality will pan out. The pressure of government and limited funding often means that election promises quickly become a distant memory. Added difficulties surround this election with the possibility of a hung parliament with policies potentially becoming bargaining tools.

However, the main issue for employers is the lack of explanation of how all these changes would be funded. With many employers treading water some may find that they are unable cope with the expense of further change, leaving them unable to keep their heads above water.

For a limited time the employment team at Wake Smith & Tofields is offering something for nothing. Employers are invited to join its HR Club, guiding employers through the maze of employment law through regular updates, invitations to seminars and the shared knowledge of other HR professionals. If you would like further details please call a member of the Employment Law team on 0114 266 6660.

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