As the UK braces itself for a General Election, SMEs contemplate the potential implications of a new Government on their operations. A survey conducted by Employment Hero has revealed that over a third (36%) of UK SMEs are anxious about the General Election. Concerns highlighted by the survey include:
- 42% fear new policies that could disrupt their established business models.
- 42% are concerned about a governmental focus on short-term policies, potentially overlooking long-term business stability.
- 40% are wary of potential new costs being imposed on their operations.
- 26% anticipate more burdensome regulations, adding to the complexity of running their business.
In response to this data, Employment Hero has developed its own manifesto detailing the key changes SMEs seek from a potential new government, based on discussions with business leaders.
Employment Hero’s Manifesto: What SMEs want from a potential new Government
- More investment in recruitment technology: SMEs are disproportionately impacted by traditional recruitment processes, which are costly and inefficient. Significant Government investment in recruitment technology is essential. AI tools like Employment Hero’s SmartMatch can revolutionise recruitment by matching pre-vetted candidates to businesses, thus addressing the employment struggles SMEs face.
- Support for flexible work options: Flexible work options, particularly remote work, are highly desired by employees. Employment Hero’s data indicates remote workers are the most productive in the UK. Government support for remote teams can transform SME growth by enabling them to hire the best talent, regardless of location.
- Guidance and support for AI upskilling: The AI revolution poses a risk to SMEs without the funds to hire or upskill staff. An initiative similar to Australia’s $17 million AI adoption project, which connects businesses with AI expertise and offers free AI training and advice, could be instrumental in helping UK SMEs embrace AI.
- Reduced regulations: Red tape has historically hindered SME growth. Continued Government reform is needed to reduce costs and burdens on small business owners, invest in marginalised communities and founders, and connect young people with jobs and apprenticeships.
- Addressing burnout in the workplace: Legislation like the ‘right to switch off’ is vital for maintaining a healthy work-life balance. Employment Hero’s data shows 64% of UK workers feel burned out. Protecting employees from burnout can benefit SMEs by improving productivity, focus, creativity, and efficiency.
- Better access to alternative finance: Government measures to improve accessibility to finance, particularly through alternative funding options, are crucial. SMEs are the backbone of the UK economy, and their success is integral to national prosperity.
Kevin Fitzgerald, UK MD of Employment Hero commented:
“SMEs represent 99% of all businesses, contribute 50% of global GDP, and provide over 60% of all job opportunities, their concerns are significant for any Government aiming to secure support. Despite this, there have been no substantial pledges to ensure the growth and stability of the SME community.
As we approach the next election, it’s essential that any aspiring Government understands and addresses the unique challenges faced by SMEs. These businesses aren’t just economic entities; they are the lifeblood of our communities and a significant driver of innovation and employment.”
SMEs across the nation will closely monitor the campaign trail leading up to next month’s election. Employment Hero is committed to guiding and supporting SMEs through any employment regulatory changes.
For more information about their services or to download free employment resources, visit: www.employmenthero.com/uk.
