EEF warns on regulation

EEF today warned that up to 10,000 companies not presently impacted by the ‘Information and Consultation of Employees Regulations’ will need to be aware of its provisions from 6 April. From this date, it will be extended to include smaller companies employing 100 or more employees.

The regulations, which carry penalties of up to £75,000 for non-compliance, previously applied only to firms employing upwards of 150 people. Partnerships, charities, associations, and public bodies will also be affected by the changes.

The Information and Consultation of Employees Regulations give employees rights to be informed and consulted on a regular basis about issues in the business for which they work. The requirement to inform and consult employees does not operate automatically as it is triggered either by a formal request from employees for an Information and Consultation (I&C) agreement, or by employers choosing to start the process themselves.

Under the regulations, 10 per cent of the workforce can ask an employer to set up an ‘Information and Consultation’ arrangement unless a pre-existing arrangement is in existence covering all employees; in which case it needs 40 per cent to overturn the existing arrangements.