Labour laws are ‘number one worry’ for SMEs

COMPLEX employment laws are the number one worry for Irish small business owners, the Chambers of Commerce of Ireland (CCI) said yesterday.

The body, which represents more than 12,000 businesses, said its members had to cope with almost 50 new pieces of legislation over the past five years. They were also required to deal with eight separate bodies that dealt with regulatory issues.

CCI chief executive John Dunne said businesses were struggling as a result of the legal burdens they faced.

“Feedback from our members strongly indicates that businesses, especially SMEs, struggle to understand and keep abreast of changes in employment legislation, yet they are responsible for compliance and implementation,” he said.

“Lack of awareness of the law or failure to follow best practice in the area of human resources were no defence in court.

“Just last week, a bar worker was awarded €3,000 by the Employment Appeals Tribunal for unfair dismissal, having been sacked for allegedly selling cannabis to colleagues while at work. When it comes to employment law, ignorance is no defence,” he said.

Mr Dunne was speaking at the launch of a new service provided by CCI for its members, which will offer employers expert advice on human resource issues and give them a clearer understanding of the laws that affect their business.

The service, called Chamber HR, will also enable businesses to protect themselves against legal costs and potential awards arising from aggrieved employees taking cases to agencies such as the Employment Appeals Tribunal or the Labour Relations Commission.

“Chamber HR seeks to protect those who endeavour to comply with the laws but lack the expertise to do so,” said Mr Dunne.

The service will be offered in conjunction with British employment law consulting firm Peninsula Business Services. Peninsula managing director Peter Done said small business owners could not rely on common sense alone when dealing with employment law issues and that the new service would be “indispensable.”

“From personal experience, I know that common sense doesn’t count and owner-managers need expert advice and support,” he said.

The service will be available to all CCI members and is part of the group’s Smarter Business Initiative, a programme to improve the way in which small businesses are runIt will include a 24-hour hotline for employer queries.