The CBI has expressed concern over proposals in the Queen's speech for a pensions protection fund but welcomed the government's rejection of a major review of employment law.
On the Occupational Pensions Bill CBI Deputy-Director General, John Cridland, Said, "Employers are not the villains of the pensions piece. They are committed to pensions and deserve credit for the huge sums many are piling into schemes but rising costs are forcing some to scale back what they can provide.
"Pension scheme members should be protected against companies going bust but the current proposals for a pensions protection fund put too much of the burden on business. Companies with sound schemes cannot be expected to bear the entire risk of baling out those that fail. Government and employees must play their part."
On the Employment Cridland said, "The government's rejection of union calls for a major review of the existing act is a victory for common sense. It would have been entirely wrong to start unpicking the current legislation, which is still new and actually appears to be working quite well. It's also encouraging that the government is committed to taking forward the joint CBI-TUC agreement on informing and consulting staff.
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