The UK held its general election yesterday with the results leading to a hung parliament.

The snap election, called by Prime Minister Theresa May, saw her Conservative party lose the parliamentary majority. At the time of going to press, the Conservatives had won 318 seats, but they failed to reach the 326-mark they would need to command a parliamentary majority. The Labour Party won 261 seats.

In a speech today, Theresa May stated that she intended to form a government. In the case of a hung parliament, the leader of the party with the most seats will be given the opportunity to try to form a government.

In its manifesto, the Conservative Party pledged to protect the rights of gig economy workers and increase the National Living Wage in line with earnings until the end of parliament.

Meanwhile, the Labour Party promised to make changes which would impact the staffing industry. The pledges include giving all workers equal rights, banning umbrella companies and zero-hours contracts. They also planned to raise the Minimum Wage to the level of the Living Wage.

The recruitment industry responded to the election results.

Fiona Coombe, SIA’s Director of Legal and Regulatory Research commented “this election result will have an impact on the Brexit negotiations as the mandate Theresa May was hoping for to support her in negotiating for a hard Brexit has not been realised. In the short term, a returning Conservative-led coalition is likely to mean there will be no major changes to employment laws.”

 REC chief executive Kevin Green commented on the results of the election: “Whoever takes the reigns must front up quickly to challenges including the imminent Brexit negotiations which will shape the jobs market over the next decade. The UK has labour, skill and talent shortages and the evidence points to the situation getting worse before it gets better.

 “Recruiters are jobs market experts, and we will urge policy-makers to collaborate with the REC and our members to build the best jobs market in the world.”

Samantha Hurley, Director of Operations at APSCo, also commented: “In light of this uncertainty, the next government should be especially careful to avoid knee jerk changes to taxation, employment regulation or visa controls associated with our exit from the EU.”

“The impact of this result on both the permanent and flexible labour markets has the potential to be significant. We hope the new administration will be open to working closely with us to ensure collateral damage is kept to a minimum.”

Julia Kermode, Chief Executive of The Freelancer & Contractor Services Association (FCSA), also commented on the results: “Brexit has left the UK facing enough uncertainty and today’s result will have added to that insecurity.  However, we know that the Government needs to be in situ by 19 June when the Queen’s speech takes place but whichever leader moves into the office we would urge them to put employment and self-employment issues at the top of the agenda in its mission to create that all-important stability.”

“During uncertain times we know that freelancers and contractors are key to the economy and they need to be allowed to work and thrive without the shackles of red tape and burdensome legislation that holds them back." 

Qdos Contractor CEO, Seb Maley, commented, “Following a hung parliament, uncertainty is inevitable, from a political and business perspective,” Qdos Contractor CEO, Seb Maley, said.  “And it’s in times of uncertainty that the UK’s independent workforce has shown its true value to the economy, contributing £119 billion in 2016 - a year dominated by Brexit concerns.”

“It’s clear that any incoming Government has a fresh opportunity to work with freelancers and contractors to build a fairer, smarter and simplified tax system - and one which the independent workforce, the economy and indeed any Government will benefit from.”