Future Retirement Success
  • Politics
  • Business
  • Investing
  • Stocks
  • Politics
  • Business
  • Investing
  • Stocks

Future Retirement Success

Business

Labour’s employment reforms ‘deeply damaging’ for business investment and hiring, warns the CBI

by March 7, 2025
March 7, 2025
Labour’s employment reforms ‘deeply damaging’ for business investment and hiring, warns the CBI

Labour’s planned reforms to employment rights pose a “highly damaging” threat to business investment and recruitment, according to Rupert Soames, president of the Confederation of British Industry (CBI) and chairman of medical technology firm Smith & Nephew.

His comments follow government amendments to the Employment Rights Bill this week, which include boosting statutory sick pay and extending zero-hours contract measures to agency workers.

Ministers argue the legislation will drive productivity and economic growth, and it has received backing from some prominent leaders, including the bosses of Centrica and Richer Sounds. However, the CBI – one of Britain’s largest business lobby groups – and others such as the British Chambers of Commerce, British Retail Consortium, UKHospitality and the Institute of Directors have voiced serious reservations.

Soames says the new rules will cost companies an extra £5 billion, encouraging them to scale back on both hiring and capital investment. He also points to existing burdens on employers, including rises in National Insurance and the National Living Wage, as well as higher business rates and steeper taxes on intergenerational transfers of business assets, which cumulatively undermine growth.

While acknowledging a minority of bad employers in the marketplace, Soames argues that penalising “the 99 per cent” to catch the few is counterproductive. He highlights “fire and rehire” as a practice used by fewer than 1 per cent of companies, yet the government plans measures that would add “vast additional complexity” for all.

A recent study by the Chartered Institute of Personnel and Development found that four out of five employers expect their overall costs to increase under the new framework. The CBI insists that, unless there is a “course correction” before royal assent, the reforms will run counter to the government’s stated ambition to boost UK competitiveness, warning that businesses, not unions, create the majority of jobs.

Soames emphasises the CBI’s willingness to collaborate on adjustments that tackle workplace abuses without imposing blanket red tape. Without such changes, he warns, Britain may see fewer job offers and lower investment at a time when policymakers are striving for economic growth.

Read more:
Labour’s employment reforms ‘deeply damaging’ for business investment and hiring, warns the CBI

0
FacebookTwitterGoogle +Pinterest
previous post
UN prepping for spending cuts as DOGE roots out waste in US, internal docs show
next post
Boots snapped up by us private equity giant Sycamore in $10bn takeover

You may also like

GB News boss claims ‘far-left’ groups are orchestrating...

March 18, 2025

Carmakers rally as Trump hints at tariff relief...

April 15, 2025

Real-World Asset Tokenization: Eugene Ng’s Vision for the...

April 2, 2025

CPR Procedure UK: Essential Steps and Guidelines

December 30, 2023

Female leaders being overlooked for top fintech jobs,...

April 17, 2023

1nhaler raises £2 million to develop single-use sustainable...

November 27, 2023

WhatsApp to introduce adverts as Meta pushes to...

June 17, 2025

Are the Glazers Wrong? Football Clubs Need to...

September 29, 2022

UK’s largest industrial companies get £10m-a-year tax break

November 23, 2023

Christmas rail travel at risk as staff shortages...

December 11, 2024

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free

    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • More NYC Corruption

      July 3, 2025
    • Iran nuclear program set back 2 years after US strikes: Pentagon

      July 3, 2025
    • Airlines secretly sold US travelers’ data to Homeland Security

      July 3, 2025
    • White House reveals highest-paid staffers – and 8 taking no salaries

      July 3, 2025
    • Jeffries stalls Trump’s ‘big, beautiful bill’ for hours after House GOP mutiny breakthrough

      July 3, 2025
    • 53 Percent Don’t Know Why We Declared Independence from Britain in 1776

      July 3, 2025

    Categories

    • Business (8,379)
    • Investing (2,097)
    • Politics (15,928)
    • Stocks (3,187)
    • About us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: futureretirementsuccess.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 futureretirementsuccess.com | All Rights Reserved