New regulations 'overwhelm' small firms

News Article - 21 December 2006
Category: Business

Concerns are being raised that small businesses are finding it difficult to cope with the implementation of new rules on discrimination, with many employers feeling overwhelmed by new regulations.

Research from the Forum of Private Business (FPB) suggests that new legislative measures regarding age discrimination and maternity leave are placing a burden on some small firms.

Many bosses are unsure as to their position in relation to new rules, wary of unwittingly falling foul of the law. For many small firms there is a risk of non-compliance arising from limited resources.

"The owners and managers of small and medium-sized businesses rely on informality and closeness to employees in the running of their firm," explains FPB chairman Len Collinson.

"Employment regulations tend to mean paperwork, records and outside interventions. Misunderstandings can lead to costly and disruptive consequences."

New legislation on age discrimination and maternity leave were introduced earlier this year.

Article keywords: Forum of Private Business, small business, SME

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