Shadow minister Jonathan Djanogly has spoken out to confirm that even if the implementation of the Agency Workers Directive is pushed through by the present government prior to the general election, a full review would be carried out by the Conservatives if they were to come into power.

Mr Djanogly was speaking at a House of Commons reception hosted by the Association of Professional Staffing Companies (APSCo) when he stated that the existing AWD consultation period has been too short and he believes that it should have been extended past December.

Ann Swain, chief executive of APSCo said that Djanogly had estimated the cost of the AWD being implemented in its current form at round £4billion per year. Swain also stated that if the controversial Directive becomes law without any further amendments the economy will surely suffer as more jobs are lost at a time when the economy is still trying to recover.

She continued: “We support Jonathan Djanogly’s view that the consultation period needs to be extended and that the draft regulations should be revised if they are too damaging to UK plc. With the implementation of the regulations delayed until 2011 there is now a real prospect that whoever the next government is could make significant amendments to the regulations before they even come into force.”

Damian Broughton, managing partner at accountancy firm Danbro said: “The good news is that there is a delay in the implementation of the AWD to 1 October 2011, and that it will not apply to all those who are genuinely self employed. There is also possible good news in the knowledge that if the Conservatives win the next election they will have a ‘total review from top to bottom’ of this and other regulation that affects this industry.”

The Association of Recruitment Consultancies, however, stated: “Although the change of heart is welcome, there is no room for complacency. There is still much that is wrong with the proposed legislation in its current form, and more work is required.”

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