Employment Law (Businesses)

Nigel Adams Excerpts

Wednesday 3rd November 2010 Commons Chamber

[Julian Smith]

I thank my hon. Friend for those comments. It is not just small companies that are affected: the cumulative effect of the measures is also significant for bigger businesses. Before I came to the House I was a head-hunter who worked with some of the biggest companies in the world. I saw how easy it was to put a senior employee in an international location rather than in the UK. I have a long list of examples whereby, when it came to choosing between London, New York or Asia, London came last. The cost of managing and getting rid of staff often tipped the balance in favour of another location. That just happens without fanfare or fuss, and that is why, like our tax and immigration policies, our employment policy must be ruthlessly competitive. The competition that the UK faces is becoming intense. Over the next few years we desperately need people to take the risk, set up businesses, invest in existing ones and create jobs here in Britain.

Labour increased its depressing legacy of employment law in its dying days, with measures on agency workers, the Equalities Act 2010 and additional paternity leave. Each measure will have a major effect on British business. For example, the new dual discrimination laws, with limitless liability, mean that employers will have to focus even more on protecting themselves, and, with discrimination law changing so often and widening to include more and more employees, is it any wonder that entrepreneurs fear taking on their first member of staff?

[Nigel Adams (Selby and Ainsty) (Con)]

I concur entirely with what has been said. Like many others now in the Chamber, I ran a small business for a number of years, but employment legislation is not the only thing holding back small businesses. In North Yorkshire, as my hon. Friend will be aware, the county council has stopped traders placing advertising boards outside their premises. We have just been through—

[Madam Deputy Speaker (Dawn Primarolo)]

Order. This is an Adjournment debate about employment law, so if the hon. Gentleman intervenes again perhaps he will keep to the point.