The manufacturing industry has called on the government to reform the employee compensation system.
The Engineering Employers' Federation (EEF) made the call in response to a review of employers' liability insurance by the Department of Work and Pensions (DWP).
Thousands of small businesses were left without cover last year following an increase in employers' liability insurance premiums.
The EEF is said to favour a system where premiums reflect company risk. In addition it called for an emphasis on staff rehabilitation and moves to dispel the so-called "compensation culture".
The EEF said the DWP review would provide a chance to reduce welfare costs, and improve the industry's record on helping injured people back to work.
