BCC Poll Shows That Planned EU Labour Legislation Threatens Flexibility

by Ulrika Lomas, for LawAndTax-News.com, Brussels

02 December 2003

According to the British Chambers of Commerce (BCC) a proposed EU Directive intended to increase the rights of temporary workers could backfire, leading businesses to hire fewer non-permanent employees.

Several EU member states are pushing for temporary workers to be given the same rights and entitlements as their permanent counterparts after six weeks. However, countries such as the UK, Ireland, Germany and Denmark have vigorously opposed this, suggesting that a qualifying period in the region of six months would be more appropriate.

The BCC revealed this week that in a poll of Chambers of Commerce, more than 80% stated that their members would be less likely to employ temporary workers if the six-week proposals are adopted by the EU.

Explaining the reasoning behind the UK's position on this issue, BCC Director General, David Frost revealed that:

"The UK has more temporary workers than any other EU state, over 700,000 at any one time, or about 3 percent of the workforce. Full parity of benefits and conditions between temporary and permanent workers would raise the cost of hiring temporary staff, making them a much less attractive prospect for employers, and lead to fewer employment opportunities for workers who want flexible working arrangements."

He added: "If the EU wants economic progress it has to have labour market flexibility. It cannot have one without the other. It is time the UK Government matches its words on this matter with action and we hope that the EU will then wake up to this reality as well."

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