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An employers' group has rubbished a report claiming UK firms are increasingly hiring 'union-busting' consultants to persuade staff not to join unions.

The TUC-commissioned study said employers were using scare tactics to keep workplaces union-free, and warned that the activities of US-style consultants were likely to be more widespread than previously thought. But a spokesman for manufacturers' organisation the EEF said: "We are only talking about a handful of cases. If US firms used the tactics described in the TUC report, they would deservedly be out of business in the UK. There are laws against unfair practices."

Report author John Logan, of the London School of Economics, said UK activity "paled in comparison with the US". He said that while stiffer UK penalties deterred illegal conduct, consultants were skilled at operating in grey areas of the law.

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