The business lobby group estimates that the new rules on agency workers will cost employers an estimated £1.8bn a year, and affect more than 1.6m workers.
Katja Hall, policy director, said: “There couldn’t be a worse time to bring in this unwelcome Brussels directive.
“The new rules will still act as a brake on jobs.
“The Government must take the first opportunity to remove unnecessary gold-plating or reform the directive.”
On the removal of the default retirement age, Ms Hall said: “The Government must act now to spell out how employers can have a protected conversation about employees’ retirement plans without fear of tribunals.”
She added: “At a time when we should be nurturing companies and helping them to grow and create jobs, these regulatory changes are simply counter-productive.”