In a move to address illegal employment and enhance the integrity of the UK’s immigration system, the Home Office has announced more stringent measures targeting right-to-work checks.
This is likely to particularly effect gig economy workers.
UK Right-to-Work Checks – Are You Up to Speed?
From March 30th 2025, companies employing individuals in flexible work arrangements are now legally obligated to verify their workers’ eligibility to work in the UK.
This initiative aims to close existing loopholes that have allowed unauthorised employment.
This has been prevalent in sectors such as construction, food, beauty salons, and courier services.
Crackdown on illegal working and rogue employers in ‘gig economy’ – GOV.UK
Extension of Right-to-Work Checks
Previously, businesses employing gig economy and contract workers were not mandated to conduct Right-to-Work checks, which created areas of employment that could be exploited for illegal worker engagement.
This new legislation aligns these sectors with traditional employment standards, requiring employers to perform Right-to-Work checks to confirm their workers’ and employees’ immigration status.
Failure to comply with these regulations could mean a severe penalty, including fines up to £60,000 per worker, business closures, director disqualifications, and potential prison sentences of up to five years.
Government’s Stance on Illegal Employment
Yvette Cooper, UK’s Home Secretary, emphasised the importance of these measures in restoring order to the asylum and immigration system.
She stated, “Under our Plan for Change, we are restoring order to the asylum and immigration system by introducing tougher laws and bolstering enforcement action to tackle illegal working and stopping rogue employers in their tracks.”
She pointed out that by ignoring illegal working practices, this fuelled people smuggling operations and undercut legitimate businesses that were adhering to the law.
Increase in Civil Penalties
The government has already increased civil penalties for employers found guilty of hiring illegal workers.
As of February 13, 2024, fines have tripled, with first-time offences incurring penalties of up to £45,000 per illegal worker.
Repeat offences can now attract fines up to £60,000.
This escalation underscores the government’s commitment to deterring illegal employment practices.
HR Smart’s Summary
We advise reviewing and strengthening your organisation’s Right-to-Work processes to comply with the new regulations.
We would suggest implementing robust policies, providing comprehensive training to staff, and conducting regular audits to mitigate the risk of substantial fines and sentences.
These measures reflect the UK’s proactive approach to curbing illegal employment and ensuring that all workers are lawfully employed, thereby protecting vulnerable individuals from exploitation and maintaining the integrity of the labour market.
Should you need help or advice in this matter, please email jon@hrsmartuk.com or call 01903 754107.
