REC comments on King’s Speech 2024

Commenting on today’s King’s Speech, Neil Carberry, REC Chief Executive, said:

“Today’s King’s Speech sets out an ambitious programme for the new government. Businesses share the view that getting economic growth going should be our priority – and are ready to help. We welcome the commitment to a new partnership with business. Only growth can deliver the individual prosperity and funding for public services we all need.

“We have to be clear – businesses are worried that the government will rush reforms to the labour market and do more harm to workers than good. Our focus should be on improving the daily lives of workers while helping firms grow, not ticking things off a list quickly. From the National Minimum Wage to Pensions Automatic Enrolment, Labour governments have shown that big changes can be successfully delivered when a proper partnership with business is created. Think-tank and trade union discussions are important – but not a substitute for proper engagement and discussion with the private sector on employment relations. Businesses are not opposed to the government’s plans – but the failure of the Apprenticeship Levy shows what happens when government imposes solutions that don’t work in reality. We welcome today’s commitment to reforming the levy, which is long overdue.

“Flexibility matters to millions of workers across the UK. Changes that restrict choice and opportunity for workers must be avoided as they will undermine both the fight against inactivity and the quest for growth. A collaborative approach with business on these policies can ensure changes are grounded in people’s daily lives, so they are pro-worker and pro-business.”

Notes to editors

Employers demand focus on tax and skills from the next government’s first 100 days, REC, July 2024
Asked to select a top priority that the next government must prioritise in its first 100 days, from a list of eight options, nearly a quarter (24%) chose reducing business taxes to increase the scope for investment. And a fifth (20%) said reforming the skills system, including the Apprenticeship Levy, to improve training for all workers, including temporary workers.

Overcoming shortages - How to create a sustainable labour market, REC, July 2022
In this report, we show exactly how much damage could be done if we do not step up. With a 10% surge in demand for staff across the economy, and the labour market restricted by shortages, we could see a 1.2% fall in expected GDP and productivity by 2027 – costing the economy anywhere between £30 billion and £39 billion every year. This figure is just short of the entire current defence budget, or two whole Elizabeth Lines.

Click here to view all REC press releases and for more information and interview enquiries, contact the REC Press Office on 020 7009 2157, 020 7009 2129 or pressoffice@rec.uk.com. Outside of regular office hours, please call 07702 568 829.

The REC is the voice of the recruitment industry, speaking up for great recruiters. We drive standards and empower recruitment businesses to build better futures for great candidates and themselves. We are champions of an industry which is fundamental to the strength of the UK economy.

Find out more about the Recruitment & Employment Confederation at www.rec.uk.com.