
Many in the recruitment industry may be aware the government has been trying for some time to reach agreement in Europe, offering greater protection for agency workers.
It has always been crucial for us to have an agreement which strikes a balance between fairness for workers, but which doesn't damage our labour market or the economy. Last month, we reached an agreement with other EU Ministers which we believe achieves that balance.
The flexibility of the UK's labour market underpins our country's economic success. And it has helped to create many jobs. I believe strongly we must make sure that increasing employment rights does not come at the cost of having a job in the first place.
That's why we needed to ensure that any agreement did not put at risk the conditions for business success.
EU ministers agreed on a framework for the Agency Workers Directive which would give greater rights to agency workers. In the UK, the agreement means agency workers should receive equal treatment after they have been in a given job for 12 weeks.
This follows an earlier agreement between the Confederation of British Industry (CBI) and the Trades Union Congress (TUC), and it means that after the qualifying period, UK agency workers will have the same pay, holidays and other working conditions as directly recruited staff. It doesn't include pensions or occupational health and safety schemes like sick pay. It will maintain the flexibility agency work offers both employers and workers.
The UK has a strong, flexible labour market — agency staff have a key role in that adaptability. And there are real benefits to agency work. It's a flexible option for some and offers an important route back to work for the unemployed.
It is important to remember agency staff already have core employment rights. They are entitled to at least the national minimum wage, 24 days' paid holiday — rising to 28 in April 2009, statutory maternity and sick pay, protection under anti-discrimination law and coverage under health and safety rules.
Now the EU agreement aims to put an end to the existing situation where agency staff can work in a company for a long time, but never receive equal treatment. And by including a reasonable qualifying period, fears that fewer people will have the opportunity to work or that business' flexibility will be stifled are dramatically reduced. I believe we now have the right balance between protection and flexibility.
The UK was key to the agreement and the CBI and the TUC's work helped to shape the Luxembourg discussions.
It reflects the government's commitment to both employers and workers: to offer greater protection and prosperity for working people, while preserving and enhancing our economic success.
It has driven our approach to employment law over the past 10 years and it will shape our policies in the future, making the UK a better place to work and a better place to do business.
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Employment relations minister, Pat McFadden, writing exclusively to Recruiter