BCC urges European Commission to postpone employment law changes

The European Commission should delay any new employment legislation until employers have recovered from the impact of the recession, UK business group BCC has insisted.

The British Chambers of Commerce has called for a moratorium on any new employment law from Europe, to give companies the freedom to focus on survival during the economic downturn.

In its European Union (EU) manifesto, launched ahead of the European Parliamentary elections on 4 June, the BCC also urged a “revolution in financial regulation” and a review of the way the EU and its member states legislate.

David Frost, director-general of the BCC, said it was important that MEPs help employers to recover from the financial crisis.

“The commission should only propose new employment laws if they will make labour markets more flexible, create more jobs,” he said.

“GDP growth is not expected to recover until 2010, while unemployment and public deficits continue to rise, so Britain’s new MEPs will play a pivotal role in ensuring that Europe can recover from this crisis.”

Last month the UK retained its opt-out from the Working Time Directive after negotiations at the European Parliament broke down.