IoD welcomes ‘red tape’ day

The Institute
of Directors
(IoD) has welcomed the
common commencement date for new employment laws, but warned that it should not
be seen as a substitute for more fundamental action.

The IoD said that a single start date for new
regulations makes it easier for business to keep up to speed with new rules,
but that ministers still need to cut the overall volume of regulatory burdens
on business.

James Walsh, head of regulatory
affairs at the IoD, said:
"The common commencement date approach is welcome and should be extended
beyond employment measures, but more action is needed to get to the root of the
red tape problem.

"We still need to tackle
the pro-regulation mindset that pervades Whitehall
and Brussels."

Following a similar exercise in
April, today’s ‘Red Tape Day’ should help to concentrate the minds of
policy-makers by making the cumulative total of each year’s new regulations
plain to see, the IoD said.

The business group said it was
also strongly in favour of extending the ‘common commencement date’ approach to
European Union measures.

“With around half of new
business regulations originating in Brussels,
the new common commencement date approach will fail unless it is extended to EU
measures as well,” Walsh said.

The legislation taking effect
from today (1 October) includes:

– New dispute resolution

– New employment tribunal rules.

– Amendments to the Disability
Discrimination Act, requiring adjustments to business premises to accommodate
disabled people.

– Changes to the National
Minimum Wage, including a 35p increase for adults to £4.85 and the introduction
of a new school leaver rate.

By Daniel Thomas



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