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CBI REACTS TO THE QUEEN'S SPEECH

The CBI today (Tuesday) gave the following reactions to legislative proposals for the next parliamentary session, announced in the Queen's speech.

CBI Deputy Director-General John Cridland said:


ON THE CORPORATE KILLING BILL
"If the government is going to press ahead on corporate manslaughter, it must ensure that the legislation is fair. The grossly negligent must be separated from genuinely responsible employers who do everything possible to ensure safety. We also want to see the government address the issue of Crown immunity - any rules must apply equally to the public sector and business."


ON THE PARENTAL RIGHTS BILL
"Extending family-friendly rights to this extent threatens to make life extremely difficult for small firms. To overcome this the government has to give more notice of return to work and give employers the option of handing administration back to the Revenue.

"Maternity leave notification periods must be improved as current arrangements leave too much room for uncertainty. Return to work notice periods should be increased to three months and employers need to be able to contact mothers during maternity leave to confirm when they will be returning to work."


ON THE IMMIGRATION AND ASYLUM BILL
"Well managed migration, where new migrants' skills complement those of workers already here, is essential for the UK economy.

"Enforcement officers should first work to help employers understand and comply with the regulation, and civil penalties should be used only as a last resort."


ON THE IDENTITY CARD BILL
"This is a step towards tackling identity theft, which is an increasing threat to companies and consumers, estimated to be costing £1.3 billion a year.

"However, firms have concerns about the potential impact of a national identity registry. They want to know more about the types of data it will store and how the government will assure accuracy and integrity of information. So far plans have been vague."


ON THE CONSUMER CREDIT BILL
"We accept the need for a review of UK consumer credit laws and welcome any additional transparency it will give. But the bill must be workable and practicable. It is in the interests of consumers and business to have legislative certainty and avoid unnecessary litigation."


ON THE CROSSRAIL BILL
"We support Crossrail and are pleased that this bill has been carried over. However, concerns remain about the exact details of the route as well as key issues surrounding funding. Companies will not accept picking up the bill if the project runs over budget. Business wants a clear pledge that it will not be liable for such costs."


ON THE EQUALITY BILL, ESTABLISHING A SINGLE EQUALITY BODY
"In the past, employers have been confused about who to turn to for advice on equality and diversity. Creating one point of contact for all diversity issues makes good sense for businesses and individuals. It promises to simplify the process and save time.

"Business has embraced diversity and the Commission for Equality and Human Rights (CEHR) must give firms the guidance they require from day one. It is vital that the new body is committed to building a partnership with business and must not be overly adversarial. It has to work with business and not against it."


ON THE COMPANY LAW REFORM BILL
"The CBI welcomes the Government's objective of making company law clearer and more accessible. We are also encouraged by the ministerial commitment to consider the impact of regulations on small companies at the outset.

"It is vital for the Government to achieve the right balance between removing unnecessary and burdensome obligations from smaller companies while keeping necessary protections for shareholders, employees and customers."


ON THE REGULATORY REFORM BILL
"It is important to maintain the momentum behind the government's better regulation drive kick-started by the Hampton and Arculus reports, both of which were fully endorsed by the CBI."


17 May, 2005

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CBI Press Office, 020 7395 8239. Out of office hours pager, 076 2397 7854.

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