David Vance SubstackRead More
It was ironic that Labour’s job-destroying “Employment Rights Bill” passed into law on the very same day that official figures confirmed unemployment has risen every month this government has been in office.
If you think unemployment is bad now, you ain’t seen nothing yet!
The Trade Unions barons dance a jig declaring;
“This a historic day and early Christmas present for working people across the country. Finally, working people will enjoy more security, better pay and dignity at work thanks to this bill”
This is patent nonsense. The sole purpose of this Bill is to help increase Trade Union power, that’s it. Angela Rayner has paid her trade union backers and they now eye up the spoils.
I am certain that this Bill will strengthen the grip of trade unions in the private sector where they are currently very weak. How is THAT a positive? The Trade Unions already control the sclerotic bloated State sector and now they will come for the wealth creators in the Private Sector.
How will this manifest itself? I can see three crucial impacts;
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Higher costs for employers: Measures like day-one unfair dismissal protection, enhanced sick pay, parental leave, and zero-hours contract reforms are expected to increase expenses for nearly 80% of businesses, prompting about a third to reduce hiring or make redundancies, and a quarter to cut investments. This is so obvious and yet Labour don’t care, it’s all about placating the Trade Unions,
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Reduced employment flexibility: Stricter dismissal rules will deter employers from recruiting young or inexperienced workers (affecting about 20%), favouring proven candidates to avoid risks. Combine this with a massive increase in the minimum wage for young people and you can be certain jobs will fall.
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Shift to third party work: Some firms (up to a third in certain sectors) plan to rely more on temporary or self-employed workers to bypass new regulations.
Add all that together and it is a red flag from the reds in power.
