18/02/2026
More than a third of employers are set to cut back on hiring because of the government’s workers’ rights reforms, a survey of employers has found.
Businesses warned that new rules giving enhanced protections to workers will place a “further handbrake on job creation” after they were hit by an increase to national insurance last April. The survey, carried out by the Chartered Institute of Personnel and Development (CIPD), found that 37 per cent of 2,000 firms polled planned to reduce the recruitment of new permanent staff as a result of the changes. It also found that more than half of businesses expected an increase in workplace conflict.
The new measures for workers introduced by ministers this year include a day one right to statutory sick pay, new rights to ease trade union recognition and a shorter qualification period for unfair dismissal. Credit
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