IoD CALLS ON GOVERNMENT TOLEGISLATE ON CORPORATE KILLING

The Institute ofDirectors (IoD) today called on the Government to introduce long overdue legislationto cover corporate manslaughter which would allow a corporate entity to standtrial rather than individual directors, something the IoD has advocated for anumber of years.

The IoD todaypublished a list of legislation that it would like to see in next weeksQueens Speech, including:

A Bill to tackleover-regulation which would allow individuals to challenge the manner in whichregulations have been implemented, particularly where gold-plating issuspected. This would include, forexample, EU regulations to which British officials have added extrarequirements that go beyond what the original legal text required.

An Education Billwhich would permit top-up fees in higher education. Universities need resources and for this reason higher tuitionfees are essential.

A Skills Bill whichwill give a guarantee of free education for any adult seeking their first Level2 qualification (equivalent to 5 GCSEs or NVQ Level 2).

A Charities Bill toreform outdated charity law.

IoD Director General,George Cox, said:

The IoD has been calling for corporate manslaughterlegislation for a number of years, notbecause we want to see a proliferation of legislation, but because the currentstate of the law on this issue is unsatisfactory.

Business should rightly be held accountable for itsactions, the criminal law should provide punishment where a company has actedrecklessly.

The current law requires the identification of acontrolling mind. In large companiesin particular, trying to pin down a nominated individual is too difficult.

In calling for a Charities Bill, George Cox, said:

Voluntary organisations play an increasinglyimportant part in bringing about much of the change in society. At present these bodies have to operate withina legal quagmire which distracts attention, impedes their development and oftenputs people off becoming trustees.

Any government should be judged not just by what itdoes, but also by what it does not do.So there are some measures that the IoD would not like to see in theQueens Speech, including:

AnEmployment Relations Bill amending the previous Employment Relations Act. We would rather there was no such Bill, butif there has to be, we hope that it would leave the existing legislation governingtrade union recognition intact.

Anyextension to the administrative burdens already placed on business,particularly unwelcome would be a further obligation to administer parts of thewelfare system on behalf of government, such as tax credits.

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Noteto editors

TheInstitute of Directors is a non-party political independent organisation witharound 55,000 members. In addition to its wide range of business services, theIoD provides an effective voice to represent the interests of its members togovernment and key opinion-formers. It also brings the experience of businessleaders to bear on the conduct of public affairs.