Small business groups say they have been overlooked by the review of the Fair Work Act.
The Federal Government is considering 53 recommendations to the Fair Work Act put forward by the review panel.
Lobby groups have criticised the recommendations, saying the panel failed to distinguish between large and small enterprises.
Restaurant and Catering chief executive John Hart said the review did not live up to expectations.
"I'm quite surprised that the report at the end of the day has been quite as inert as it is," he said.
"There [were] quite a few good ideas on the table that were really being sincerely tossed around with the panel." He said small businesses need more flexibility, and the suggested changes to individual agreements between employers and staff do not go far enough.
"All it's done is introduce yet another requirement," he said.
"There's more red tape ...
but none of the flexibility that we actually needed to make these agreements really worthwhile." However, industrial law expert Professor Andrew Stewart, who assisted the Department of Workplace Relations on technical aspects of the Fair Work legislation, says the review has adopted some business suggestions.
"There are a number of changes that the review has proposed that align with employer group recommendations or proposals," he told the ABC's PM program.
Australian Hotels Association chief executive Des Crowe agrees there are some improvements suggested by the review.
While he says he would have liked more changes, recommendations to standardise public holidays and amend unfair dismissal laws could benefit both parties.
"[Amendments] requiring the employees to better substantiate their [unfair dismissal] claims, we'd see that be a lot fairer to employers," he said.
However, David Humphrey from the Housing Industry Association says the recommendations will make it even harder for individual contractors in the construction industry to set their own terms.
"A lot of the recommendations though seem to be based upon institutional involvement in affairs but that's not the way small business operate," he said.
"They don't go off to Fair Work Australia or the ombudsman to go and have matters arbitrated.
"They're looking for flexible outcomes at the workplace and that's where it's missing most." Professor Stewart says employer groups generally failed to provide the review panel with evidence to back up their claims that the Fair Work Act was inhibiting productivity or increasing industrial disputation.
"There was a lot of assertion but very little evidence that could be put to the panel to persuade it of the need for change," he said.
Business groups say they will raise their concerns with the Government as it finalises its response to the review.