Chuka Umunna MP, Labour's Shadow Business Secretary, commenting on reports that the government is planning to reject Adrian Beecroft’s proposal for compensated no fault dismissal, said:
“If plans for no fault dismissal are dropped it will be a victory for the large coalition of people who have opposed it including Labour, business groups, trade unions and HR professionals.
"The increasingly isolated Business Secretary, lacking clout with Number 10 and the Treasury, was powerless to stop Government moving forward with this proposal to fire at will, having been forced to consult on it by Number 10 and the Treasury who think watering down our rights at work will make up for their economic policy failures. Having wasted time and resources consulting on a measure for which there was no evidence to show it would boost growth, the Government has discovered what we said all along - a majority of businesses do not support it.
“Many of Beecroft’s other proposals are just as extreme as his no fault dismissal plan. For example, he called for the abolition of protections against discrimination at work and for the abolition of the Gangmasters’ Licensing Authority which was set up by Labour following the tragic deaths of 23 Chinese cockle pickers in Morecambe Bay in 2004 to prevent exploitation of workers. Ministers need to make it clear what their intentions are on these matters.”