Bullet point outline for speech by Jeff Rooker to the Association of Labour Providers AGM, Abbey Centre, London, Monday 14 May 2007
Introduction
- Thank ALP for inviting. Today = key issues, key people, key event.
- For any industry, the workforce is one of the most valuable assets it has.
- On today’s British farms, and in our food processing plants, want to see safe and hygienic working environments, and workers who are free from being exploited.
- How we treat our employees should reflect – and help to underpin – a modern, highly skilled, ethical UK food and farming sector.
- Most workers in this sector well-treated by their employers, But more work still needed to achieve that aim for all. Your expertise and practical experience is helping to take that process forward.
Background
- Some of the problems in this sector are incredibly serious:
- all of us appalled by Morecambe Bay tragedy when 23 Chinese migrant workers drowned picking cockles;
- evidence that plenty of people still out there exploiting their workers – often the most vulnerable kinds of people. The BBC’s recent investigation is a worrying example;
- other labour providers failing through ignorance about their responsibilities, and the rights their workers have.
- Need to understand and have a sense of what’s appropriate – don’t want to take a sledgehammer to people who occasionally make small lapses. They need, instead, more help and guidance.
- But those who deliberately and illegally exploit their workers deserve to face the full legal consequences.
- Includes all those who rip off tax system, employ illegal workers, pay less than the national minimum wage. Those who make it hard for legitimate businesses to compete.
- You have done everything you can to keep these issues high up the agenda.
Approach
- I hope we’re starting to make some headway, but still cannot relax.
- Need Govt, unions, industry stakeholders to carry on working together and pool their expertise.
- You are leading thinkers, actors. Want to continue hearing priorities and obstacles from your POV.
- Your constructive – and challenging – engagement has already delivered real progress.
Licensing labour providers
- Still only 3 years since Gangmasters (Licensing) Act went through Parliament (July 2004).
- Act introduced requirement for licensing of labour providers. Now we can all distinguish better between legal and illegal operators.
- Represented a huge step forward – weeding out the rogues from amongst the many safe and legitimate providers.
- Up to 600,000 workers now have a lot more protection from being exploited. Licensing helps ensure they’re legally employed, get the minimum wage, work reasonable hours in safe conditions.
- 1,000 labour providers now formally licensed.
Labour users
- In December 2006 we made it illegal for businesses to employ workers through unlicensed gangmasters – another key weapon in the fight to end worker exploitation.
- New ‘labour user’ offence sends a loud message across the industry. People already realising that dealing with illegal operators taints their business – now it’s a criminal offence too.
Minimum charge rates
- But the challenges still keep coming. Now, we’re jointly working – Govt, ALP and GLA – to publicise fair “minimum charge rates”. These are levels that allow you to meet your legal requirements.
- This is important. The whole system could be undermined if labour users are tempted by dodgy dealers – people who’d rather cut standards than cut their workers a fair deal.
- Cutting-corners sometimes looks like a handy way of saving money – I can understand the attraction. But not if it means playing fast and loose with other people’s basic rights.
- And its not so clever for labour users if they end up in court. If their reputation gets dragged through the mud. If they’re part of the reason why workers are being put at risk.
- Defra has prepared indicative rates, which should mean that labour providers can meet their obligations. These are available on the GLA website.
- Now, GLA working with you to refine them further. Results of this ongoing work will be widely shared.
- Meanwhile, I’ve asked the major supermarkets to make their suppliers aware of the issues and the current rates. All involved need to make a big effort to tackle corner-cutters, reckless operators, and out and out law-breakers.
- I’m determined to clamp down on this. And anyone thinking of operating illegally or in contravention of the licensing standards should take a long pause before doing so.
- Enforcement activity by the GLA already getting tougher.
- Following the recent “Operation Scallion”, GLA has revoked the licences of 7 labour providers acting illegally.
- Since then a further 12 licences have been revoked and more action is in the pipeline.
- All the signs look promising for a real GLA crackdown on those who refuse to observe their licence conditions.
- We can’t afford to relax our efforts – and you won’t let us. Need to regularly check how things are going and ensure the resources available are well deployed.
Vulnerable workers
- All workers can be vulnerable to bad practice, but some groups are more vulnerable than others.
- Estimated that two thirds of temporary workers in the food industry are non-UK nationals. Usually hard workers who benefit our economy – but also many in the “at risk” category, and the ones most easily exploited.
- Abuses of minimum wage and health and safety legislation simply NOT ON. Need to enforce the rights that all of us are meant to enjoy.
- Want to see a fair deal for all workers – a safe working environment and freedom from exploitation is the absolute minimum ANYBODY working in the UK should expect.
- HSE working hard to provide migrant workers with basic and essential information on their rights and responsibilities – working with ACAS, Citizens Advice Bureau, and the unions.
- Helping people know where to go to about working hours, time off, rest breaks and annual leave. Things that most of us take for granted.
- HSE planning new website – later in 2007 – aimed at employers, labour providers and labour users. Will bring together a lot of information and guidance on these issues.
- It’s a key part of ongoing efforts to make agriculture and food processing sectors safe and satisfying places to work.
ALP contribution
- There are big challenges ahead, but ALP has already made a massive difference – your energy, focus and intellectual inputs have been crucial.
- Thanks to you:
- scope of the Gangmasters legislation and licensing extended to cover entire food industry as a result of your lobbying within the coalition organised by the ETI. This has maximised available protection, and delivered level playing field for all.
- we’ve got clear and proportionate licensing conditions – good theory has turned into good practice on the ground.
- heavy focus by the GLA on enforcement of the new licensing rules – making sure lawbreakers can be weeded out and tackled effectively.
- there’s more professionalism and good practice around – e.g. through the guidance you provide to ALP members.
- All great stuff. We’ve all learned a lot from your input – shows the value of involving the experts.
- Hope that Defra can also help the ALP. Want you to become the centre of expertise on key issues affecting labour providers. Also want to support your work to improve compliance levels within your industry.
- It is why we’ve provided modest funding to boost your membership and help you market yourself more widely. Look forward to seeing the results of this later in the year.
Conclusion
- I think important steps are being taken to tackle the challenges in this area. But there’s more to do.
- Grateful for your important contribution – you have brought more energy and purpose to the development of Government policy for the labour provider industry.
- Welcome and support your efforts to increase membership and spread good practice throughout the agriculture and food processing sectors. The professionalism of your industry has improved markedly since 2004. ALP has led the way.
- Look forward to another year of close working. Hope you’ll continue to challenge, and tell me how things are going.
- Thank you.
Page published: 15 May 2007
