Deputy Prime Minister Angela Rayner’s proposed “biggest upgrade to workers’ rights in a generation” could stifle job creation in independent shops and will put yet further financial pressures on already struggling retailers, the Federation of Independent Retailers (the Fed) has warned.
Unveiling its plans – which include better access to sick pay, protection from day one from unfair dismissal and strengthened rights for pregnant women and new mothers – the government said these would “deliver economic security and growth to businesses, workers and communities across the UK”.
Responding to the government’s plans, Mo Razzaq national president of the Fed, said the trade association is concerned about the sheer breadth of change that is being proposed in one go, given that there are nearly 30 proposals on the table.
“Independent convenience stores and newsagents play an important role in their communities across the UK, providing employment opportunities and, in many cases, giving young people their first jobs,” he said.
“As responsible retailers, we want to ensure that employees are treated fairly, but many of these proposed changes will have cost implications on small retailers who are already struggling financially because of rising bills and sluggish sales. There is also a risk of Fed members becoming less inclined to take on new staff because of the additional red tape involved if those people who are recruited are not seen to be a good fit.”
Razzaq emphasised the need for the government to allow enough time to ensure that all introduced measures are practical and workable for independent retailers.
The Fed has heard the concerns from its members and will now “look forward” to engaging with the government on these.
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