“The balance between protecting the rights of employees and supporting an employer has improved through the Employment Law changes introduced.”

Cornelius Group

“The three month redundancy consultation rule might work in a large organisation however it is disproportionally destabilising in a small business.”

RTC Respondent

“By reducing and improving regulation the focus from Government has gone full circle and it is now supporting people to run a business.”

Ascot Buildings

“A greater, possibly mandatory, involvement of ACAS at the start of an employment dispute could manage to resolve many disputes before they ever reach a tribunal.”

RTC Respondent

“It remains a priority that employment law gives businesses the confidence to take on new staff whilst ensuring employee rights are protected at all times.”

Outcomes of the Employment Law Red Tape Challenge

Changes to Employment Theme regulations will result in total savings of £124.74 million per year for businesses (of which almost £80 million are independently validated).

49 regulations will be improved, of which 44 will save businesses time and money beyond streamlining the statute book.

Major Reforms

1) In April 2012 we increased the qualification period for the right to claim unfair dismissal from one to two years. This gives businesses greater flexibility to make difficult decisions around dismissal whilst retaining fundamental employee protections.

2) Introduced in July 2013 a 12 month pay cap on the compensatory award for unfair dismissal and fees for Employment Tribunals.

3) In April 2013 we reformed collective redundancy rules, including reducing the period before the first dismissal can take place from 90 to 45 days.

4) In January 2014 we revised TUPE regulations to remove unfair legal risks that businesses face when carrying out a transfer whilst protecting the rights of individuals in that process

5) In April 2014 we implemented Early Conciliation which makes it mandatory for a claimant to contact Acas before they can lodge a claim with an Employement Tribunal. This is going a long way to ensure employee disputes are resolved without the cost and stress associated with Tribunals.

6) In April 2014 we reduced administration by abolishing the specific Statutory Sick Pay record keeping obligations, giving businesses freedom to set up a risk based approach to Statutory Sick Pay record keeping.

Other Implemented Reforms

1) In March 2012 we published the Employer’s charter which is simple explanation of what employers can do when managing staff. In addition, we re-launched guidance for employees and employers on the gov.uk website.

2) In July 2013 we introduced Settlement Agreements as a mutually beneficial way of ending the employment relationship without the cost and stress associated with an Employment Tribunal.

3) In July 2013 we streamlined some Employment Tribunal rules to ensure that the system works more efficiently and effectively for everyone. This should mean that Employment Tribunal cases are handled more proportionately and quickly, saving users’ time and money.

Click this link to download a spreadsheet of this theme’s deregulatory measures.

You can see the regulations that were crowd-sourced and read the comments received by clicking through to the following sub-category pages.

Compliance and enforcement

Compliance and enforcement

Regulations that aim to ensure effective enforcement of the rules, so that both employers and workers have confidence in the framework.

Letting people go

Letting people go

These regulations govern how terms of employment can be ended.

Managing staff

Managing staff

Regulations that look at issues that employers face in managing staff, such as flexible working, and set a framework for how employers manage their staff.

General health and safety in the workplace

Taking people on

These regulations govern how employers can recruit staff.

We previously invited general comments on employment related law regulations. To view the old comment page, please click here.

We have also published a discussion paper ‘Flexible, Effective, Fair: promoting economic growth through a strong and efficient labour market’. The paper sets out our vision for a strong and efficient labour market and, derived from this vision, the principles that are guiding the Government’s approach to the labour market framework. It also provides an update on the on-going Employment Law Review and the Review of Government Enforcement of Workplace Rights. We have included some questions for you to think about when you are responding to this theme.

This site is designed to promote open discussion of ways in which the aims of existing regulation can be fulfilled in the least burdensome way possible. The presence of a particular regulation or law on this website should not be read as implying any intention on the part of the Government to remove that regulation or law from the statute book. The purpose of this exercise is to open government up to the public.

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