Government is unlikely to make last-minute changes to AWR

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Government is unlikely to make last-minute changes to AWR October 2011

Posted date: 3 October 2011

David Cameron is unlikely to make any dramatic changes to the Agency Workers Regulations (AWR).

It is reported that the Prime Minister sought last-minute legal advice over the impact of the European Directive. However, many believe that the assessment has come too late for any significant turnaround.

The AWR will give temporary workers, who have completed a 12-week qualifying period, the same pay and condition entitlements as permanent staff.

Last-minute investigations indicated that the regulations had been “gold-plated”. However, Tom Player, Partner at law firm Eversheds, believes that there is little room to manoeuvre and any amendments would be minor.

“Even if change is afoot, therefore, it seems unlikely it will involve more than tweaks to the Regulations, as opposed to wholesale re-writing,” he said.

Player also points out that the majority of the AWR comes from the European Directive and consequently cannot be altered. This applies to provisions such as the obligation to offer agency staff comparable basic working and employment conditions.

The AWR are expected to cost UK businesses almost £2 billion per annum. The European deadline for introducing the regulations is 5 December 2011. If the Government misses the implementation date it faces potential fines.

The legislation is due to be effective from 1 October 2011 and at the time of going to press there had been no changes announced. This is despite suggestions that advisers are deliberating over whether to remove some of the superfluous clauses. However, many businesses are continuing to lobby the Government.

Susie Johnstone-Lee, Director of Headstart Employment, believes that the regulations will lead to the dismissal of some agency workers.

“This will impact on the already fragile economy and for this reason, now is the time to postpone or review the regulations, before it is too late,” she said.