date: 3 July 2009

embargo: 00.01hrs Monday 6 July

TUC response to CBI employment measures report

Responding to the CBI report on employment measures published today (Monday), TUC General Secretary Brendan Barber said:

'It is welcome that the CBI has joined the call for more help to retain viable jobs during the downturn and is looking at alternatives to redundancy. But we have many concerns about the detail of these proposals.

'In particular there will be worries about whether employees who took up this option could end up losing redundancy rights and the big cut in income they will face, without any cushioning redundancy pay for the first six months.

'It is also better to keep people in work and training with their employer even if on short-term working, rather than sitting at home, which is why unions and other employer groups are campaigning for the kind of wage subsidies that are now common in the rest of Europe.

'We are always ready to discuss with government and employers policies that can keep people in jobs, and businesses in a better position to benefit from an upturn.

'However, this proposal is spoiled by the call to reduce consultation rights for staff facing redundancy. The ninety day period provides the opportunity to explore alternatives to redundancy and can both help keep workers in jobs and make businesses better prepared for an upturn.

'And to say, as the CBI does, that rights at work such as time off to care for dependants, maternity leave and the minimum wage have contributed to a 'tipping point' for business regulation places them well outside the political consensus on these issues.

'People are losing their jobs not because they have gained some modest rights in recent years, but because we are going through a deep recession caused by a breakdown in the financial system caused by out-of-control banks.'

NOTES TO EDITORS:

- All TUC press releases can be found at www.tuc.org.uk

Contacts:

Media enquiries:
Rob Holdsworth T: 020 7467 1372 M: 07717 531150 E: rholdsworth@tuc.org.uk

Press release (400 words) issued 3 Jul 2009