The impact of legislation on businesses - EduqasThe need for legislation in business
The government use legislation to regulate businessesâ behaviour and prevent them from exploiting people. Laws protect consumers who buy from businesses and workers employed by businesses.
Legislation is a set of laws put in place by the government to protect businesses, employees and consumers. Businesses must operate within these laws to ensure the fair and safe treatment of any party involved with a business. If businesses do not comply with legislation, legal action such as fines, restrictions and imprisonment can be actioned.
Different types of legislation that businesses must follow include employment laws, consumer laws, and intellectual property laws.
Employment law involves keeping the employees safe and ensuring that employers are fair.
Consumer law involves protecting consumers and anyone purchasing products and services.