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Contentious regulations that give temporary agency workers full employment rights would be reviewed even if parliament had already waved them through, the Tories say. In fact, shadow minister Jonathan Djanogly said an incoming Conservative government would have “no compunctions” about revisiting the Agency Workers Directive (AWD). Djanogly, who might be business minister if the Conservatives win the general election, pledged the action on the basis that the rules prove unworkable or damaging to the economy. Speaking at a House of Commons reception, he also said the consultation period on the AWD was too short and that it should be extended beyond the current December deadline. The signal that the Tories want to give the directive “proper scrutiny” before enshrining it was welcomed by the Association of Professional Staffing Companies, which hosted the reception. Chief executive Ann Swain said it was right to extend the consultation period on the AWD because its current draft could cost £4billion a year, according an estimate from the minister. Passing the law without amendment in late 2011 could also cost the UK economy tens of thousands of jobs, she said, potentially at a time when the labour market’s recovery could still be fragile. APSCo added: “We support Jonathan Djanogly's view that the consultation period needs to be extended and that the draft regulations should be revised if they are too damaging to UK plc. ”With the implementation of the regulations delayed until 2011 there is now a real prospect that whoever the next government is could make significant amendments to the regulations before they even come into force." At the reception, Djanogly said the government and the Confederation of British Industry, the employers’ organisation, had done a “dirty deal” on the directive with trade unions, its biggest backers. If such a deal was brokered, limited company owners and the self-employed were at its heart, as both groups have been excluded from the draft regulations, as have managed service contractors. “The good news is that there is a delay in the implementation of the AWD to 1 October 2011, and that it will not apply to all those who are ‘genuinely self employed’”, said Damian Broughton, managing partner of accountancy firm Danbro. “There is also possible good news in the knowledge that if the Conservatives win the next election they will have a ‘total review from top to bottom’ of this and other regulation that affects this industry.” However the Association of Recruitment Consultancies cautioned against underestimating the lobbying effort that will be required from some parts of the business community, no matter which party is in power. Reflecting last week on the proposed exemption for limited company contractors, ARC’s chairman, Adrian Marlowe, said: “Although the change of heart is welcome, there is no room for complacency. There is still much that is wrong with the proposed legislation in its current form, and more work is required.” Oct 27, 2009 Email this article Printer friendly page Previous Page
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