Update: Gig Economy Right to Work Checks

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The government is introducing a new clause to the Border Security, Asylum and Immigration Bill that would widen the current right to work framework to include more flexible working arrangements. If implemented, the new rules will broaden the scope of the existing right to work regime to cover organisations using so-called gig economy workers.

 

Proposed changes

 

At present, UK employers are only required to carry out right to work checks where individuals are employed under standard employment contracts. The checks are legally required to establish a statutory excuse against a civil penalty if an employee is later found to lack immigration permission.

Under the proposals, employers will also need to carry out right to work checks where individuals are engaged through non-traditional arrangements. This would include workers engaged under a contract for services, individual subcontractors and people sourced through online platforms.

The Government says the extended rules are aimed at addressing gaps in the existing system that have enabled irregular working practices, particularly in sectors that rely on casual, freelance or gig-based labour. Many of these working models have grown rapidly in recent years and currently fall outside the current scope of statutory checks.

According to the government’s impact assessment, the change is intended to create a level playing field across all sectors. preventing businesses from avoiding legal checks by using flexible work models, reduce illegal working and support fair competition by applying the same obligations to all employers regardless of engagement method.

 

Next steps for employers

 

The government plans to consult with businesses and stakeholders before bringing the changes into force. The consultation will collect feedback from employers operating in these newer work models and help shape future guidance and statutory codes of practice.

The Home Office also intends to assess the likely impact on employers and make any necessary adjustments to enforcement and compliance. A lead-in period is expected between the publication of guidance and the introduction of penalties to allow employers time to understand their new responsibilities and adapt their right to work processes.

The new requirements are expected to take effect no later than 2026–27.

 

Need assistance?

 

DavidsonMorris are UK immigration compliance specialists. For guidance on the right to work regime and what these changes will mean for your organisation, contact us.

 

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

About DavidsonMorris

As employer solutions lawyers, DavidsonMorris offers a complete and cost-effective capability to meet employers’ needs across UK immigration and employment law, HR and global mobility.

Led by Anne Morris, one of the UK’s preeminent immigration lawyers, and with rankings in The Legal 500 and Chambers & Partners, we’re a multi-disciplinary team helping organisations to meet their people objectives, while reducing legal risk and nurturing workforce relations.

Read more about DavidsonMorris here

 

Legal Disclaimer

The matters contained in this article are intended to be for general information purposes only. This article does not constitute legal advice, nor is it a complete or authoritative statement of the law, and should not be treated as such. Whilst every effort is made to ensure that the information is correct at the time of writing, no warranty, express or implied, is given as to its accuracy and no liability is accepted for any error or omission. Before acting on any of the information contained herein, expert legal advice should be sought.

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