As well as a website for people to comment on red tape associated with different sectors, the government has announced a number of areas that may be reformed, including collective redundancy consultation periods, the Transfer of Undertakings Protection of Employment Regulations (TUPE) and compensation for discrimination awarded by employment tribunals.

The government said that it would start to review these areas this year, although it added that changes may not necessarily be to legislation.

The chancellor George Osborne said: "If we are to support private sector growth and create jobs, we can’t shy away from looking at difficult issues like employment law. Examining these areas of the law which could be holding back job creation demonstrates the government’s commitment to go for growth."

Employers are concerned about the high levels of compensation that can be awarded through an employment tribunal, which is not currently capped. Many claim that the possibility of a big payout encourages employees to go ahead despite having a weak case.

Also being looked at is the 90-day consultation for redundancies, which some employers claim hinders the ability to effectively restructure or retain a flexible workforce.

For more on the proposals, click here to read this week's Briefing