EU Advocacy » Y 2000 Declaration » Employment
While it is important to provide employees with a fair working environment and terms it is equally important that these obligations are not too burdensome for employers to implement and maintain, notably in small businesses. It is essential to understand the personal relationship between small employers and their employees as being one of partnership for mutual benefits. It is also important to recognise and acknowledge the limitations, both financial and operational of a small business.
Establishing a fair balance between the protection offered by the law to employees and the risks and continuous commitment in maintaining a business is crucial to the long-term interests of both parties, as it will ensure the viability of the small business and its potential to offer continued employment.
There is much to be learned from the past in the field of employment, the need to recognise, acknowledge and accommodate the differentials that exist in the ability and limitations between small businesses and big business has been sadly neglected. Trade unions too often remained entrenched in the belief that employment must have a blanket approach that places a small corner shop employer with a very limited turnover on a par with giant mega stores. Governments have lacked the political will to address the problem of differentials.
Unfortunately, the disincentives to employment now far outweigh the incentives to employ. The small entrepreneur has become more reluctant to take on the responsibilities, administrative and financial burdens of employment, while big businesses take every opportunity to downsize their number of employees.
The areas which need to be re-examined, and that today create strong obstacles to employment in SMEs, are : redundancy payments, employment contracts and employment regulations. On the positive side, the aims and intentions of improving the education and training of the new employees and upgrading of existing employees is a policy that deserves support and expansion as long as it does not add to the burdens on the shoulders of SME entrepreneurs.
Page last updated: 31/08/2001 10:43:19 AM