Red tape is hampering employment, says chamber
Cutting red tape is the only way to tackle unemployment, West Midlands business leaders have said. The comments came as it was revealed the region's jobless figure had grown by 4,000 in the last quarter.
According to latest data from the Office for National Statistics (ONS), 9.2 per cent of the West Midlands' working population is unemployed.
This was a rise of 0.1 per cent over the three months to October, to 243,000 people.
"In a world where money just isn’t available to throw at the creation of jobs, gaining business confidence by making it easier to do business is paramount," said Birmingham Chamber of Commerce president Michael Ward.
A recent survey by British Chambers of Commerce says that employment legislation is hampering growth. 82 per cent of firms said they found regulations around sickness absence burdensome and 73 per cent said the removal of the Default Retirement Age in April will be detrimental to their business.
Mike Ashton, spokesman for West Midlands Chambers of Commerce, added: "Regulations are a huge burden on larger firms at a time when we should be encouraging businesses to expand. The government must act quickly to ensure that businesses can concentrate on generating the growth which will help create jobs."
Louise Bennett, chief executive of the Coventry and Warwickshire Chamber, agreed.
Despite a local fall in employment in Warwickshire, she said: "It is imperative that freeing up companies to employ more staff remains at the forefront of the government’s agenda going into the New Year. That means being freed of the shackles of red tape and making it simpler to take on new people.
"Companies’ ability to employ more people when they are able to grow is at the heart of getting the UK on a stronger road to recovery."
