The UK needs to create a culture where employers aren’t afraid of hiring due to fears around employment tribunals, according to Paul Venables, group finance director at Hays.

Venables’ comments follow Daily Telegraph reports that the Prime Minister is set to introduce an “employers charter”, allowing companies to dismiss workers in the first two years of employment without the threat of being taken to tribunal, rather than the present arrangement where employees can claim unfair dismissal after just one year.

Venables told Recruiter: “We support any initiatives which streamline employment legislation and support job creation. In the current climate SMEs are particularly in need of support and the proposed charter shows that the government intends to reduce the number of unmeritorious claims and support employers.

“The change for unfair dismissal claims to two years is a positive move, providing the law is clear for both employers and employees. We need to foster a culture where employers aren’t prevented from hiring for fear of future claims.

“In our Manifesto that we produced before the election last year we suggested that a minimum deposit should be introduced to deter claimants from bringing unmeritorious discrimination claims, so we support the introduction of a fee for claimants. It is important we counter the ‘no win, no fee’ culture which has become prevalent.”