The Temporary and Agency Workers Directive (TAWD) has the potential to stop job creation within British businesses, says MP Jonathan Djanogly, shadow minister for employment. And especially so as recession tightens its hold on the economy, he warned.

Speaking exclusively to Recruiter, the Conservative MP from Huntingdon criticised Prime Minister Gordon Brown’s announced plans to create 100,000 jobs, and questioned the viability of job creation within the context of proposing laws which will increase the costs of employing flexible workforces.

“It just blows a hole in what the Prime Minister is saying,” Djanogly said. “If anything, that [TAWD] is going to stop job creation, not help it. So on one hand, they’re talking about creating jobs, but in practice, when you actually look at the laws coming through, it’s quite the opposite.

“Particularly as the economy worsens, where people have spikes in production or whatever, and they need the temporary or agency workers, I think it’s going to really impact.”

The government hopes to put the legislation in place later this year, according to a DBERR spokesman, although the date it would actually take force remains another question. No date has yet been set for the consultation on the directive to begin “but it will have to be
soon”, the spokesman said.

Djanogly, who met with the Forum of Professional Recruiters last year, is keen to hear from recruiters who want to discuss business issues they face. “The recruitment industry is a very important part of my brief,” he said. “We see it as a vital part of sustaining flexibility in the employment market.”

He went on to say: “We have grave concerns that overregulation is now setting in. And that as a result, British business is being
stymied in its ability to employ people.”