Small firms with 50 or more employees have been warned to make sure they are prepared for changes to the employment laws which will come in to effect next month.
Growingbusiness.co.uk reports that from April 6th, such firms will, for the first time, have to comply with staff consultation regulations.
Speaking to the website, Martin Edwards, head of employment law at Mace and Jones, explained that if at least ten per cent of staff make a written request for information and consultation arrangements to be put in place, then the firm must do so.
He said: "It is absolutely vital firms are ready and prepared for this legislation."
Mr Edwards added that SMEs which break the new regulations could be taken to the Central Arbitration Committee and the Employment Appeal Tribunal where they could face a fine of up to £75,000.
Last week the British Chambers of Commerce listed employment law as one of the factors that hinders small firms looking to grow.