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Paternity rules 'will harm SMEs'

Published On 29 May 2007 at 14:36:30

New paternity regulation will harm the productivity of the UK's small and medium-sized enterprises (SMEs), a leading industry group has warned.

Earlier this month, the employment relations minister, Jim Fitzpatrick, set out rules which would force bosses to give male workers time off if their partner wants to return to work within a year of a child's birth.

However, the Forum of Private Businesses (FPB) has warned that the legislation is inappropriate for many SMEs as they will not be able to easily recruit replacement staff.

"A small firm with few employees who are highly skilled or have specialist knowledge of their workplace, will suffer greatly from the absence of one of their workers," the group explained in a statement.

"Business may have to distribute that worker's responsibilities around the rest of the workforce. That hits productivity and profitability."

The FPB argued that rules should take into account the needs of small businesses and endeavour to create a system which was fair for both workers and bosses.

"Good business owners recognise the need for flexibility in the workplace and are willing to find solutions to employees' needs, to the benefit of both parties," explained the FPB's campaigns manager, Victoria Carson.

"However, so far the government has failed to understand that different types of companies have varying degrees of flexibility, one rule cannot be applied to them all because some will undoubtedly lose out as a consequence."

 

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