The UK home Office has announced a significant change to right to work rules, extending existing legal obligations to employers engaging individuals in the gig economy or on zero-hours contracts.
Under the new requirements, organisations employing workers on flexible and zero-hours contracts must now verify their immigration status before hiring them.
To comply, organisations will need to implement right to work verification processes for all workers, regardless of contract type, to avoid potential penalties.
Change to UK right to work rules
Under the prevention of illegal working regime, organisations employing individuals directly are required to carry out prescribed checks to confirm a person’s eligibility to work in the UK. These checks are designed to prevent the employment of people without lawful immigration status and help enforce immigration control through the workplace.
Organisations operating under flexible models, such as those using gig economy workers or engaging contractors on zero-hours terms, had previously been outside the scope of the regime and not been subject to the same legal requirement to carry out compliance checks.
However – the government has now moved to close this gap. All employers who use gig workers or zero-hours contractors will be required to confirm that individuals working on their behalf have the legal right to work in the UK. The obligation applies regardless of the type of contract or working pattern in place, and extends to any businesses using third-party platforms or subcontracting arrangements.
This means organisations engaging individuals in non-traditional employment arrangements, more commonly seen in sectors such as construction, delivery services, beauty and courier work, will now face the same legal obligation to conduct right to work checks as those employing staff on standard contracts. Businesses that already carry out voluntary checks, such as Deliveroo, Uber Eats and Just Eat, are being presented as examples of good practice. However, all other companies will now be required to meet the same standards.
Penalties for non-compliance include fines of up to £45,000 for a first offence, and up to £60,000 per illegal worker for repeat breaches, along with possible closure of the business, disqualification of company directors and criminal prosecution carrying a potential prison sentence of up to five years.
The announcement forms part of the Home Office’s wider focus immigration enforcement efforts, which include increased raids, arrests and returns of individuals with no legal basis to remain in the UK. The measures also align with the UK’s broader crackdown on organised immigration crime and people smuggling.
Impact on UK organisations
Employers must now treat all individuals working on their behalf, including casual or self-employed workers, as subject to right to work checks. Internal systems may need to be reviewed to ensure that appropriate checks are carried out before any work begins. Businesses relying on labour in high-turnover or seasonal industries should prepare for an increased administrative burden by reviewing and adapting onboarding procedures and training relevant personnel involved in recruitment to avoid exposure to penalties.
Need assistance?
Employers operating in sectors that have previously avoided immigration compliance scrutiny now face new operational and reputational risks if they fail to act quickly and ensure compliance. Proactive steps will need to be taken to implement right to work checks in all areas of the workforce, regardless of contract type or worker classification.
DavidsonMorris are UK right to work specialists. To discuss how these new rule impact your organisation, and what they mean in practical terms, speak to our UK immigration compliance experts.
Author
Founder and Managing Director Anne Morris is a fully qualified solicitor and trusted adviser to large corporates through to SMEs, providing strategic immigration and global mobility advice to support employers with UK operations to meet their workforce needs through corporate immigration.
She is a recognised by Legal 500 and Chambers as a legal expert and delivers Board-level advice on business migration and compliance risk management as well as overseeing the firm’s development of new client propositions and delivery of cost and time efficient processing of applications.
Anne is an active public speaker, immigration commentator, and immigration policy contributor and regularly hosts training sessions for employers and HR professionals
