Government announces ‘more targeted’ recruitment sector enforcement
5 November 2013
The government has unveiled what it is describing as “a more targeted enforcement strategy” for the recruitment sector by creating a new customs and revenue team aimed at enforcing non-payment of national minimum wage (NMW).
Tue, 5 Nov 2013The government has unveiled what it is describing as “a more targeted enforcement strategy” for the recruitment sector by creating a new customs and revenue team aimed at enforcing non-payment of national minimum wage (NMW).
The new strategy involves the transfer of staff from the Employment Agency Standards Inspectorate (EAS), which has been part of the Department of Business, Innovation and Skills (BIS), to HM Revenue & Customs’ NMW team.
In an announcement yesterday (4 November 2013), minister for employment relations and consumer affairs Jo Swinson said: “By increasing HMRC’s NMW team we will ensure that the most vulnerable workers are protected and we will create a level playing field for the vast majority of agencies who play by the rules.”
A small team will remain in BIS to enforce the recruitment sector regulations, Swinson said. “Complaints will continue to prioritised using a risk-based approach and the level of resourcing will be kept under review.”
Swinson also announced that the government intends to replace the Employment Agencies Act 1973 and the Conduct of Employment Agencies and Employment Business Regulations 2003 with “a simplified regulatory framework”, which is intended to protect jobseekers but will also “remove some of the burden from business”.
Asked to comment on the impact the latest move would have on the Gangmasters Licensing Authority (GLA), which also aims to protect vulnerable, low-paid workers, a spokesperson for the organisation told recruiter.co.uk that it “does not in any way alter how we operate at the GLA”.
The spokesman went on to say: “We now look forward to forging links and working with this new unit as we continue to regulate our designated sector – protecting vulnerable people, preventing worker exploitation and tackling unlicensed and criminal activity.”
Representatives of sector trade and professional bodies also weighed in on Swinson’s announcement. The Recruitment & Employment Confederation’s (REC) director of policy, Tom Hadley, said that the new structure “must be implemented effectively, and we have called for a guarantee that all complaints are properly investigated”.
Liz Longman, managing director of The Employment Agents Network (TEAM), told recruiter.co.uk that there were positive elements in the new strategy but also “it’s a bit worrying that there is going to be only a small team left at BIS” to deal with complaints of poor conduct by rogue recruitment agencies.
“They’re stretched enough,” Longman said of the BIS resources. However, she added that she believed there was still opportunity for the recruitment sector’s voice to be heard before final reforms were completed of the regulatory framework. Longman predicted that a final version would be confirmed within the next six months to a year.
The new strategy involves the transfer of staff from the Employment Agency Standards Inspectorate (EAS), which has been part of the Department of Business, Innovation and Skills (BIS), to HM Revenue & Customs’ NMW team.
In an announcement yesterday (4 November 2013), minister for employment relations and consumer affairs Jo Swinson said: “By increasing HMRC’s NMW team we will ensure that the most vulnerable workers are protected and we will create a level playing field for the vast majority of agencies who play by the rules.”
A small team will remain in BIS to enforce the recruitment sector regulations, Swinson said. “Complaints will continue to prioritised using a risk-based approach and the level of resourcing will be kept under review.”
Swinson also announced that the government intends to replace the Employment Agencies Act 1973 and the Conduct of Employment Agencies and Employment Business Regulations 2003 with “a simplified regulatory framework”, which is intended to protect jobseekers but will also “remove some of the burden from business”.
Asked to comment on the impact the latest move would have on the Gangmasters Licensing Authority (GLA), which also aims to protect vulnerable, low-paid workers, a spokesperson for the organisation told recruiter.co.uk that it “does not in any way alter how we operate at the GLA”.
The spokesman went on to say: “We now look forward to forging links and working with this new unit as we continue to regulate our designated sector – protecting vulnerable people, preventing worker exploitation and tackling unlicensed and criminal activity.”
Representatives of sector trade and professional bodies also weighed in on Swinson’s announcement. The Recruitment & Employment Confederation’s (REC) director of policy, Tom Hadley, said that the new structure “must be implemented effectively, and we have called for a guarantee that all complaints are properly investigated”.
Liz Longman, managing director of The Employment Agents Network (TEAM), told recruiter.co.uk that there were positive elements in the new strategy but also “it’s a bit worrying that there is going to be only a small team left at BIS” to deal with complaints of poor conduct by rogue recruitment agencies.
“They’re stretched enough,” Longman said of the BIS resources. However, she added that she believed there was still opportunity for the recruitment sector’s voice to be heard before final reforms were completed of the regulatory framework. Longman predicted that a final version would be confirmed within the next six months to a year.
