In his final speech to the Institute of Directors, outgoing director Miles Templeman has made a damning speech against the government.
Mr Templeman believes that the current government has no clear business orientation, and that successive governments had failed to turn their pro-business rhetoric into comprehensive pro-business policy.
“The current government’s approach to employment regulation is a prime example where we have made no progress in reducing the regulation burden, despite some well-meant initiative.
“Of course workers need adequate protections and retirement saving needs to increase, but the burden on employers created by the Agency Workers Directive, auto-enrolment pensions and other regulations are massive and cannot be afforded, particularly at this time.
“The government should be helping businesses to create jobs, not hammering businesses with new rules.”
He went on to say that despite suggestions to the Business Department on how to soften the impact of the Agency Workers Directive, these suggestions were not implemented and that few in business really believe regulation reduction measures are working.
“If the government expects the private sector to create jobs and compete with emerging economies in Asia and South America, we need to maintain and ideally improve our labour market flexibility.
“I do believe this government aspires to be business orientated, but the Agency Workers Directive and auto-enrolment pensions will overwhelm efforts elsewhere to stop the burden increasing. Ministers need to do much better.”
Mr Templeman has been director general of the IoD since 2004, and came to the role after a successful career in marketing and general management with brands such as Daz, Levi jeans and Stella Artois.