DEPARTMENT FOR
BUSINESS, ENTERPRISE AND REGULATORY REFORM News Release (2008/160)
issued by The Government News Network on 5 August 2008
A new Government
drive to crack down on rogue employers who abuse vulnerable
workers and undercut honest businesses was unveiled today.
The strategy includes a single telephone helpline for vulnerable
workers to report abuses to the Government's workplace
enforcement agencies, breaking down barriers so agencies can share
vital information to catch rogue employers and a £6 million
information campaign to raise awareness of employment rights and
how to enforce them.
The crack down will be overseen by a new Fair Employment
Enforcement Board which will co-ordinate the work of the
government enforcement agencies covering minimum wage, health and
safety, employment agencies and gangmasters. The new Board will be
chaired by the Employment Relations Minister and will include
representatives from business and trade unions, as well as the
enforcement agencies.
The Vulnerable Workers Enforcement Forum, which was established
to examine abuses of employment law, has worked with the
Government over the past year to develop a report with key
initiatives to protect workers.
Launching the final Forum report, Employment Relations Minister
and Forum Chair, Pat McFadden said:
"Compared to a decade ago there are three million more
people in work in Britain and they all enjoy more employment
rights than they would have in the past. Important minimum
standards on wages, paid leave, maternity leave and conditions
have been put in place.
"However, as the Forum found, there are still dark corners
of the labour market where rogue employers seek to mistreat their
workers and more needs to be done to safeguard people's rights.
"We want to prevent unscrupulous employers who undercut
honest competition and prey on people who are fearful or so
desperate to earn a living that they are open to exploitation.
"It is vital we boost awareness of employment rights and
ensure those rights are properly enforced. There should be no
hiding place for employers who exploit vulnerable workers and who
are not prepared to obey the law.
"This is in the interests of workers themselves and, as was
made clear by business representatives on the Forum, it is in the
interests of the reputable businesses who treat their workers
fairly and obey the law.
Measures unveiled in the report include:
* Establishing a Fair Employment Enforcement Board to drive
continued progress towards effective collaboration between
enforcement bodies including HMRC, the Employment Agencies
Standards Inspectorate (EAS), the Gangmasters Licensing Authority
and the Health and Safety Executive.
* A single telephone helpline for vulnerable workers to report
abuses to the Government's workplace enforcement agencies
* The launch of a sustained campaign, starting this year, to
raise awareness of employment rights issues and to encourage
workers to report abuses.
* Changing legislation to allow HMRC, EAS and others to share
information allowing for more joined-up action on investigations
* Strengthening the Employment Agencies Standards
Inspectorate.The number of inspectors is to be doubled by the end
of July, and awareness-raising will be undertaken to raise its
profile significantly. BERR is also introducing stronger
penalties for agency offences and increasing the investigative
powers of the Inspectorate. Measures to strengthen the penalties
and investigative powers for the National Minimum Wage are also
included in the Employment Bill currently going through Parliament.
* More contact between the enforcement agencies, advice bodies,
community groups and others to raise awareness of employment
rights and build information about non-compliant employers.
Among its key findings, the Forum identified:
* A low awareness of employment rights and how they are enforced
among vulnerable workers, along with a reluctance to report
problems and a lack of knowledge about how to do so.
* Complications created by five different enforcement bodies
operating separate helplines and a low profile of some enforcement
bodies
The Government will continue to gather evidence on employment
rights abuses and ensure that it is doing everything possible to
deliver on its promise to protect vulnerable workers and support
good employers.
The Government has recently taken a number of significant steps
to strengthen employment rights, including giving agency workers a
right to withdraw from pay deductions for transport or
accommodation and an agreement to implement laws giving agency
workers equal treatment with permanent colleagues after 12 weeks
in a job.
Notes to editors
1. A vulnerable worker is someone working in an environment where
the risk of being denied employment rights is high and who does
not have the capacity or means to protect themselves from that abuse.
2. The Vulnerable Worker Enforcement Forum was chaired by
Employment Relations Minister, Pat McFadden and included
representatives from the TUC, Unite, GMB, UCATT, USDAW, CBI, REC,
HMRC, Health & Safety Executive, Gangmasters Licensing
Authority, Employment Agency Standards Inspectorate and Citizens
Advice
3. The five bodies responsible for enforcing employment rights are:
* Employment Agencies Standards Inspectorate
* HMRC (National Minimum Wage)
* Health & Satefy Executive (for the 48 hour week as well as
health and safety)
* Defra (Agricultural minimum wage)
* Gangmasters Licensing Authority
4. The Department for Business Enterprise and Regulatory Reform
helps UK business succeed in an increasingly competitive world.
It promotes business growth and a strong enterprise economy, leads
the better regulation agenda and champions free and fair markets.
It is the shareholder in a number of Government-owned assets and
it works to secure, clean and competitively priced energy supplies
