Commenting on the announcement around settlement agreements by the Department for Business Innovation and Skills, and the second reading of the Enterprise and Regulatory Reform Bill, Dr Adam Marshall, Director of Policy at the British Chambers of Commerce (BCC), said:“For businesses, reforms to employment law must deliver clarity, simplicity and lower costs. The proposal to beef up settlement agreements will offer many employers the certainty and security they crave. That is provided that any offer made to end a contractual relationship with an employee cannot be used against them in employment tribunal proceedings.
“Businesses tell us that radical reforms to employment law will give them greater confidence to take on new staff. Settlement agreements, and the legal safeguards for business proposed alongside them, will help to deliver that confidence. However, other reforms, such as the streamlining of the tribunal system and the introduction of fees for claimants, must also be implemented swiftly.”