
Right to work checks to be extended to gig economy workers
INSIGHTS
The UK Government has recently announced plans to significantly expand its illegal working regime, extending the requirement for right to work checks to include gig economy and zero-hours workers. This move aims to disrupt exploitative business practices and to ensure that individuals working in the UK have the legal right to do so.
What are right to work checks?
Right to work checks are procedures employers must carry out to verify that their employees are legally permitted to work in the UK. The Home Office mandates the way in which these checks should be carried out, and failing to comply with their requirements can result in a range of sanctions against the business.
What’s changing?
Currently, all employers have a duty to prevent illegal working in the UK. Failure to comply with this duty can result in an employer receiving a civil penalty, or in the most serious cases, criminality liability. Employers can protect themselves and obtain a statutory excuse against a civil penalty by conducting a right to work check before employing someone. Employers are not required to establish a statutory excuse where the worker is not a direct employee (for example, if they are self-employed), unless the employer is a sponsor licence holder and are sponsoring the worker.
However, the government has announced plans to extend the civil penalty regime to gig economy workers and zero-hours contract staff, regardless of their employment status.
Legislative context
The current civil penalty regime is set out in section 15 of the Immigration and Asylum Act 2006. This states that it is contrary to the Act to ‘employ’ an adult subject to immigration control if they do not have valid permission to remain in the UK, or where to do so would breach a condition of their immigration status. Employers falling foul of their duty to prevent illegal working are liable for a civil penalty of up to £60,000 per illegal worker. Employers also face tougher criminal sanctions in the most serious cases, which can result in disqualification as a director, a period of imprisonment of up to five years and an unlimited fine.
Given the current legal framework applies to employees only, a change in existing legislation will be required before these changes can be implemented. As yet, there is no set timescale for the introduction of these changes.
Steps for employers
To prepare for these changes, employers should:
- Consider the extent of their non-employed workers and what checks, if any, are currently carried out
- Review current onboarding processes to understand the extent of the changes required to include right to work checks for all workers, regardless of employment status
- In light of increased enforcement activity, review your existing procedures to ensure they meet current legal standards
- Seek legal advice if uncertain about compliance obligations
How we can help
Our business immigration team regularly conducts immigration compliance audits to help you review your internal procedures, reduce risk, and ensure full compliance with Home Office requirements. We can also provide bespoke guides and staff training to not only streamline your right to work processes, but also to ensure that those carrying out the checks have the confidence to do so.
If you need support or have any questions relating to UK business immigration matters, please contact a member of our team.
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