Deputy Prime Minister Angela Rayner (Image: Getty)
‘s workers’ rights plan came under fresh fire after it emerged taxpayers could have to foot the bill for employment disputes.
An amendment to the Employment Rights Bill would give workers the right to legal aid when suing their employers over a variety of workplace issues.
Another amendment gives the Government the power to take on firms even if employees affected by the dispute have decided not to take legal action.
Tory shadow business secretary Andrew Griffith told The Telegraph: “Labour’s shameful use of the cloak of workers’ rights to hand their trade union paymasters sweeping new powers is a strike at the heart of businesses and public services.
“If you run a firm or rely upon public services be afraid, be very afraid.
“Whether gifting themselves the ability to use taxpayers’ cash to give unions legal aid, or the power to take businesses to a tribunal, it is clear that for Labour it is their union paymasters first, taxpayers last.”
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The changes were tabled by the Government yesterday and had not been previously announced by ministers.
The bill, which is currently making its way through Parliament and being spearheaded by the Deputy Prime Minister, has promised the biggest shake-up of employment rights for a generation.
Craig Beaumont, executive director at the Federation of Small Businesses, said the new rules were “really scary” for businesses.
He said: “This makes the funnel bigger for new cases, by allowing the government to take out or continue legal action against employers or give legal aid to claimants,” he said.
“It’s really scary for small businesses. The idea is that a vexatious claim could come their way and they could wait two years from that point before it is cleared.”
But it comes as firms face pressures from soaring labour costs, with the Government hiking national insurance contributions for employers from April and bumping up the minimum wage.
A Government spokesman said: “Our Plan to Make Work Pay is a core part of our mission to grow the economy, raise living standards across the country and create opportunities for all.
“This pro-business, pro-worker Government continues to engage extensively with businesses and unions, including on the set up of the Fair Work Agency.”