The CBI has called on the government to tackle regulation which small businesses report as being barriers to recruitment.

As 60% of private and family-owned firms have cite employment regulation as a barrier to job creation, the CBI is seeking to draw attention to the disproportionate impact some employment regulations have on smaller companies.

CBI director-general John Cridland says: “”Smaller firms are job-creation dynamos. The government must think small first by tackling regulation, which distracts them from growing the business and creating jobs.””

“”The size and nature of these firms makes them strong advocates of flexible and family-friendly working, and the government should build on this success.””

The CBI has recommended speeding up the tribunals system, providing clearer guidance in the absence of the default retirement age, introducing the right to an annual review of flexible working and to agree a return date with an employee going on maternity leave.