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New proposals to streamline employment law

New steps to give firms more flexibility and confidence in managing their workforce and to reduce employment law red tape have been announced by Business Secretary Vince Cable.

The package comes in response to calls from business to simplify and speed up the process of ending the employment relationship when it breaks down, for the benefit of both employers and employees.

The Government has given details of:

  • its support for settlement agreements to help end employment relationships in a fair and consensual way. A consultation on how best to make this work in practice is underway, and Acas has agreed to provide a new code of practice,
  • how it might reduce the cap on compensation for unfair dismissal claims,
  • proposals to streamline employment tribunals by making it easier for judges to dismiss weak cases,
  • responses to its call for evidence on the TUPE rules, when staff transfer to a new employer. Government has heard that businesses want this to be more efficient, and will consult on specific proposals before the end of the year, and
  • recommendations on how to improve guidance for small businesses on the Acas code of practice on discipline and grievance.

 

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