More than a third of finance directors believe new flexible working legislation in the Employment Act will damage business by increasing administration and costs.
A survey of more than 300 finance directors shows that bosses are concerned the changes will lead to disruption in the workforce.
The research, by recruitment firm Reed Accountancy, suggests that finance directors feel costs will rise because employers will have to hire temps and increase overtime to cover staff working flexibly.
In a separate survey, legal consultancy Peninsula reported a 41 per cent increase in the number of calls to its advice line since the introduction of the new rights.
The firm claims employers are unhappy at the introduction of more red tape and said many of the calls were from companies not aware of the changes until the last minute.
Peninsula normally receives about 850 calls a day, but in the two days following the Employment Act's introduction on 6 April, it had 2,380 individual inquiries.
By Ross Wigham