Vince Cable announces employment law reforms

Employment law is set to undergo a series of radical reforms in an attempt to reduce unnecessary demands on businesses and encourage growth.

Business Secretary Vince Cable outlined the changes that will effect workplace dispute procedure and cut red tape during a speech to EEF.

The government hope that the new legal package will protect worker rights, while supporting businesses in employment, managing disputes and letting people go.

Under the reforms, employment tribunals will be overhauled and the 90 day minimum consultation period for collective redundancies with be debated.

Mr Cable stated: "Many employers still feel that employment law is a barrier to growing their business.

"We're knocking down that barrier today - getting the state out of the way."

The business sector has welcomed the proposals, particularly those that abandon employment tribunals.

Scrapping the dispute mechanism is expected to save over £40 million per year.

According to the policy director for the Confederation of British Industry, Katja Hall, the reforms will allow faster justice for legitimate disputes.

Published by Phil Hammond