§ Mr. Andrew TurnerTo ask the Secretary of State for Trade and Industry what her estimate is of the annual cost to employers of implementing the(a) Working Time Regulations 1998 (SI 1833), (b) employment provisions of the Disability Discrimination Act 1996 (i) excluding and (ii) including firms with between 15 to 20 staff, (c) national minimum wage, (d) reduction in the qualifying period for unfair dismissal from two years to one, (e) Public Interest Disclosures Act 1998, (f) rise in the upper limit for compensation for unfair dismissal from £12,000 to £51,700, (g) Maternity Leave etc. Regulations 1999 and other rights for parental leave and (h) the Part-Time Workers (Prevention of Less Favourable Treatment) Regulations 2000. [19760]
§ Alan JohnsonThe Government prepare regulatory impact assessments when proposals for new legislation are introduced. The table summarises the quantified annual costs to employers together with the benefits (both quantified and non-quantified).
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Policy costs Implementation costs Benefits Working Time Regulations £2.3 billion1 £1.5 to £3 million1 2 million employees get increased rest periods. 3.5 million night workers get right to health assessments. 3.1 million employees get four weeks paid annual leave (or pro rata for part-time workers). Disability Discrimination Act Employment provisions excluding employers with 15 to 20 staff including employers with 15 to 20 staff £3.25 million2 £1 million2 All disabled employees gain from fairer treatment and greater employment opportunities. including employers with 15 to 20 staff £3.4 million2 £1 1million2 0.4 million disabled employees in small enterprises benefit from being treated on the same basis as disabled employees in larger enterprises. National Minimum Wage (original 1999 Regulations) £2.4 billion2 £2 to £3 million2 Workers benefit from higher pay (£2.4 billion). Increase in youth rate for NMW (2000) £45 million2 Nil2 Workers benefit from higher pay (£45 million). Increase in adult rate for NMW (2000) £180 million2 Nil2 Workers benefit from higher pay (£180 million). Increase in NMW (2001) £635 million3 Nil3 Workers benefit from higher pay (£635 million). Reduction of qualifying period for unfair dismissal £2.5 to £10 million2 £2.5 to £4 million2 2.8 million employees gain from increased security. Public Interest Disclosure Act Negligible Negligible Society gains from greater exposure of wrongdoing. Rise in the upper limit for compensation for unfair dismissal Minimal Nil Potential benefits to a few employees who are wrongly dismissed. Enhancement to maternity leave £16 million2 Negligible 85,000 mothers have their leave increased and spend more time with their new-born child. Parental leave £42 million2 £0.2 million2 2.7 million employees gain the right to parental leave. Improved family life. Time-off for dependants £7 million1 £0.1 million1 Employers benefit from improved commitment and reduced turnover. 0.6 million employees benefit directly and 2 million benefit indirectly. Part-time workers (prevention of less favourable treatment) Regulations £23 million2 £4 million2 400,000 part-time workers benefit directly from improved pay and conditions (£23.4 million), 6 million indirectly through greater security. Employers benefit from increased labour supply. 1 1998 prices 2 1999 prices 3 2001 prices