Firms barred from speaking to lawyers before ‘workers’ rights police’ raid
Bosses will be barred from seeking legal advice if the government’s new workers’ rights police choose to raid their company’s property unannounced, under new powers handed to it as part of Labour’s flagship employment rights overhaul.
Fresh documents outlining the role of the Fair Work Agency reveal business will not be able to delay the new watchdog’s ‘enforcement officers’ from entering their property by asking to speak to their lawyer “without a clear explanation as to why it’s necessary”.
The regulator, which was formally launched on Tuesday, has been handed a raft of new powers as part of the government’s totemic workers’ rights shake-up, which ministers say represents the biggest upgrade to employment law in a generation.
The new act will grant agency officials the ability to obtain a search warrant and raid a property under laws originally intended for police forces. Enforcement officers will have the power to search individuals, work premises and seize evidence if they suspect a company falling foul of any employment law.
As well as enforcing pre-existing workers rights, including paying the minimum wage and rules around modern slavery, the new Fair Work Agency will also be responsible for overseeing firms’ adherence to the new Employment Rights Act. The act, which was ratified last year, includes a glut of new rights for employees, including giving them access to statutory sick pay and parental leave from the first day of a new job.
Workers’ rights act detail stokes business concerns
Its powers prevent junior staff from holding up an enforcement officer raid even if their boss is not on site to let officials in. Unions, meanwhile, will be allowed to visit company premises on a weekly basis.
The documents revealed ministers had granted the watchdog, whose full remit will not be confirmed until next year, the opportunity to develop fresh regulations it would then enforce. These include identifying “where legislative, operational or strategic” changes may required and exploring opportunities for “future remit expansion”.
The developments have reignited businesses’ concerns that the Fair Work Agency will add to the red tape burden on UK firms despite government claims the unified regulator will reduce duplication. The watchdog has been formed by the merger of four different quangos, including the Employment Agency Standards Inspectorate and the National Minimum Wage enforcement team.
Patrick Milnes, head of people and work policy at the British Chambers of Commerce said: “It is of vital importance that the Fair Work Agency works with businesses on both its current remit and any plans for expansion.”
“A heavy-handed approach to punishing non-compliance will only deter firms from seeking out the help they need,” he added.
The Federation of Small Businesses’ policy chair Tina McKenzie also urged the agency to follow through on its commitment to lessen “the regulatory burden for small and medium-sized businesses”.
“Linked to this, we will be looking to the agency to ensure that helping small firms with compliance is core to its mission, through providing clear guidance and open channels of communication,” she said.
The government was approached for comment.