Health Stores UK says that sweeping changes to employment law proposed under the Government’s Employment Rights Bill risk disproportionately burdening independent retailers.
Whilst supporting the Government’s aim to improve workplace protection and rights, the association is concerned that some of the measures in the Bill could unintentionally threaten the viability of small businesses, many of which are already in a financially precarious position.
The new Bill is set to overhaul significant aspects of UK employment law, including provisions for extended parental leave, changes to flexible working rights, new protections for workers in the gig economy, and alterations to the rules governing zero-hours contracts.
Under current proposals, all new employees would also gain ‘day-one unfair dismissal rights’. Several small business groups have warned that this could actively deter employers hiring new staff, for fear of facing an employment tribunal in the event that a new recruit turns out to be unsuited to the role.
Commenting, Health Stores UK chair, Len Glenville said: “In the lead up to the General Election, Labour identified protecting local high streets as a priority for their economic policy. Implementing measures that, in practice, could create more financial stresses for already vulnerable independent retailers risks achieving the reverse effect. So we urge the Government to recognise that small retail businesses – such as the health stores we represent – do not have the resources of large employers to easily absorb significant changes to employment practices.
“Health store owners are typically respectful and supportive employers, but also often rely on flexible working arrangements with staff. A one-size-fits-all approach to this legislation could have serious negative effects for our businesses. We therefore strongly urge the Government to work with independent retailers to implement the changes with the least possible disruption to the businesses.”
