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news opinion
The majority of small business owners treat their employees fairly ...
They and their staff enjoy a mutual respect, and there is flexibility on both sides in terms of work/life balance.
The days of the ’boss’ and the ’worker’ are long gone, and most small businesses operate in an environment free of demarcation.
That is not to say that employment legislation is unnecessary. Protection for employees who are discriminated against, treated unfairly, bullied or dismissed summarily is vital. If this legislation diminishes an employee’s sense of vulnerability, then it can only help create a stable and well-run workplace – to the benefit of both owner and employee.
But there are cases – few, it must be said – where employees try it on, where they look to exploit employment laws for their own purposes.
A recent survey by the Forum of Private Business found that employers were concerned by the lack of balance in employment legislation. They wanted the rules to protect them as much as they do employees.
This is particularly relevant where an employee makes a ’vexatious claim’ against their employer, one that can tie up the company in a costly and time-consuming defence.
The FPB says that where an employee brings a case lacking substantial merit, the business should be allowed to recover costs from the claimant. At the same time, judges should be allowed to strike out weak and vexatious claims against business owners.
We believe the best answer in these cases is for an independent mediation process to take place, and for any decisions made by a mediation panel to be legally enforceable on employees as well as employers.
The UK’s compensation culture not only chokes business growth, it also sends the wrong message to society. Reducing blame and claim, and increasing personal and corporate responsibility is the only way forward.
David Murray, Publisher
www.businessmag.co.uk
South East worst hit by spending cuts
The south east of England is the biggest loser in the government’s public sector spending cuts, according to the latest quarterly Mid-Size Business Confidence Survey by CIMA (Chartered Institute of Management Accountants).
Over two-thirds of mid-sized businesses in the south east have already reported losing revenue as a direct result of public spending cuts or contracts. 67% of mid-sized businesses in the south east have reported that they have already lost money due to cuts in public sector spending. This is double the national average, where 33% of mid-sized businesses have been affected and seven times worse than the least affected region in the UK (East Midlands).
The south east region is also the least confident about their business survival compared to the rest of England and it is bad news for the local school leavers as the mid-sized businesses also feel they are least likely to benefit from the £1.4
billion funding available to train an extra 100,000 apprentices by 2014, with only 13% expecting to take it up compared to the national average of 22%.
Despite this loss of revenue and lack of confidence surrounding economic growth in 2011, 19% of mid-sized businesses in the south east are expecting to benefit from an increase in the number of ex-public sector workers employed by their business over the next 12 months, which is nearly twice the national average.
Local CIMA branch chairman for the south east, Stephanie Clackworthy, commented: “The results of the CIMA survey show that it’s a challenging time for the mid-sized businesses in the south east. Perhaps we should ask ourselves why local businesses reckon they won’t be able to use the money for training young people as much as the rest of the country.”
* Businesses responded from: Addlestone, Aylesbury, Bracknell, Camberley, Dartford, Dorking, Fareham, Farnborough, Gillingham, Guildford, Kings Langley, London (outside London series), Luton, Maidenhead, Milton Keynes, Newbury, Potters Bar, Reading, Rochester, Ruislip, Sittingbourne, Staines, Tadley, Wallingford, Wantage, and Watford.
Major employer on track to occupy Basing View site
Basingstoke is set to benefit from a major investment boost following the news that Network Rail has chosen Basing View, the Basingstoke town centre business park currently undergoing redevelopment, to house its new regional training centre.
The company, which owns and operates Britain’s rail infrastructure, is working with Basingstoke and Deane Borough Council to buy six acres of land at the eight acre Gresley Road site. The development scheme will incorporate a new footbridge over the London railway line, which will provide a much-improved link between the Gresley Road and Basing View sites.
Site development will be anchored by a new rail training facility, known as a Workforce Development Centre. The facility will enable Network Rail employees to be trained in maintenance, engineering design, project management and signalling, in a safe and controlled environment.
The £10 million investment demonstrates Network Rail’s commitment to up-skilling its workforce and improving the safety and performance of the railway. The facility is expected to accommodate up to 300 people at a time.
Richard O’Brien, Network Rail’s route director for Wessex, said: “We are committed to changing the way we run the railway to further improve performance and efficiency, and offer better value for money for the British people. An important part of this is giving our people the right skills and providing the best facilities. This proposed new development will be a big step forward in achieving this. We considered a number of locations and criteria, including the quality
Basing View redevelopment – artist’s impression
of road and rail links, and overall we felt Basingstoke offered the best solution.”
Over time, the site is also expected to become the centre of Network Rail’s management organisation for the route.
News of the regional centre marks an important chapter in Basing View’s regeneration story. It comes just as work on the demolition of City Wall House and Loddon House is set to re-start following the appointment of a new contractor.
Details:
www.basingview.co.uk In the June issue of The Business Magazine
• Corporate Finance • Focus on Oxford • Innovation South
For more details:
0118-9745308
sales@elcot.co.uk
THE BUSINESS MAGAZINE – THAMES VALLEY – MAY 2011
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