Recruiters have welcomed measures to fine companies that fail to check whether overseas workers have a legal right to work in the UK up to £10,000.

Under proposals announced by immigration minister, Liam Byrne, agencies and direct employers that fail to conduct proper tests could face hefty fines for each illegal worker.

Agencies may even have to check passports or birth certificates of British-born workers to ensure they are not being duped.

Recruiters who work with migrants have welcomed the plans. Laura Jackson, business manager for Hartlepool-based Baltic Recruitment Services, told Recruiter: "The punishment may seem extreme but it's extreme because it needs to be. There does have to be some punishment in place and it has to be hefty enough."

Jackson was supported in her views by Helen Knight, sales manager of multi-sector firm Recruitment Now, based in Gateshead.

"Irrespective of sector, this is a very hot topic," she said. "We have to be very thorough and it's a sign of the times.

"As a recruiter we've got to do all the right checks. The onus is on the employer and we need to cross-reference with them to make sure everything is correct." The Recruitment and Employment Confederation (REC) has also backed the plans. Anne Fairweather, external relations manager, said: "Better enforcement is the number one priority for recruitment agencies. Our 2006 survey showed that recruitment agencies all too often see candidates with false papers. Good recruitment agencies should be meticulous in checking a candidate's ID, right to work and references. It is all part of the service of a professional recruitment agency.

"But the quid pro quo is that the government must crack down on agencies and employers who knowingly use illegal workers, as these undercut reputable businesses."

The government has a helpline on 0845 010 6677 which businesses can use to check if employees have a legal right to work in the UK.