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A third of SME bosses are unaware of their employment law obligations, says BIS.

23rd February 2010

The new study of 312 owners of businesses with between one and 49 employees, conducted by the Department for Business, Innovation and Skills (BIS), You Gov and Business Link, showed a significant gap between small businesses in their knowledge and confidence in managing employment law.

Whereas 34% of the sample said they understood and act on what was required of them as an employer, 33% reported being broadly unaware of their obligations.

A further 19% were aware they had obligations but were unsure about what to do about them. While 13 per cent of those surveyed confessed regarding it as someone else’s duty to ensure laws were observed.

Further findings from the respondents:

  • 42% said they consider it ‘important’ to stay up to date.
  • 25% admitted that they do not keep up to speed with legislation changes.  
  • 28% reported that they are ‘vaguely aware’ of their legal obligations but felt that they are unable to find the time to keep abreast of their legal requirements. 
  • 54% of female small business owners said they feel it is important to keep informed of changes, compared to 38% of males. 
  • 26% of males admit that they don’t keep up to date with employment legislation, compared to 21% of women.
  • 26% of women worry that they will manage employment obligations incorrectly compared to only 17% of men.
If you are still unsure about your employment law responsibilities, please speak to employment department partner, Michael Pitt, on 0161 785 3506.

Contact Details: Michael Pitt

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0161 785 3506

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