New directive will cut down on jobs for temps

European plans to grant increasing rights to employees mean temporary workers face losing up to 160,000 job placements every year.

The Confederation of British Industries (CBI) claims the EU draft will lead to more than 50 per cent of companies holding back on the number of temps they use.

Currently, there are around 770,000 temporary workers in the UK, and under the terms of the new directive they will be entitled to the same pay and conditions as full time staff.

A survey by the CBI revealed 10 per cent of employers would stop using temps altogether as a result of this directive. Only one per cent said it would encourage them to take on permanent staff.

CBI deputy director-general John Cridland said: 'These proposals would deliver a serious blow to the UK. Most large firms use agencies to meet unexpected upturns in demand while small firms use them to cover absence. We must prevent these proposals from harming our labour market.'