26/06/2003

CBI boss urges government to reject ‘nanny state’ hours

The CBI has urged the government to protect the right of UK employees to work more than 48 hours a week if they wish to do so.

A CBI report found that many employers wanted to keep the freedom to ask their staff to opt out of the weekly hours limit, set out in the EU working time directive, in order to keep down costs and mitigate labour shortages.

Director-General of the CBI, Digby Jones, said he had written to Chancellor Gordon Brown and Trade Secretary Patricia Hewitt warning that the issue is "the next test of the government's stated commitment to labour market flexibility".

The CBI-Pertemps survey of 400 UK firms revealed that three out of five said removal of the right would have "a significant or severe" impact on business. Companies said it would also undermine their ability to meet customer needs, respond to demand or launch new commercial ventures.

Mr Jones, who spent yesterday in Brussels lobbying on the issue, also accused trade unions of misrepresenting their members by campaigning for further restrictions on hours. The CBI report claimed there is no evidence that a significant number of employees want to lose the opt-out and some firms believed removal would cause staff resentment.

The report suggested that 18% of staff regularly use an opt-out in companies from all parts of the economy, with the greatest use among smaller firms.

Mr Jones added: "This is about choice. People should have a right to say 'no' to long hours and the directive rightly gives them that protection. But they don't want unions and politicians telling them when they can work or for how long. That would be the over-zealous interference of the nanny state.

"Further restrictions on working time would be a kick in the teeth for many firms, particularly smaller ones. The move would inflict serious damage on our highly successful flexible labour market by increasing costs and exacerbating skills shortages.”

The European Commission will review the individual's right to opt out by November this year, raising fears of another increase in labour regulation.

Introduced in 1998, in addition to working hours, the working time directive sets minimum standards on holiday entitlement, holiday pay and rest breaks for employees.

(SP)

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