Labour will tackle the exploitation of migrant workers that undercuts local jobs and wages

In a major speech today, Shadow Home Secretary, Yvette Cooper set out a new progressive approach to immigration with action to tackle abuse in the labour market at its heart. She said a Labour Government would do more to enforce the minimum wage, and double fines for employers who break the law. She also said a Labour Government would clampdown on agencies who solely recruit from abroad.

And, with Shadow Business Secretary Chuka Umunna, she launched a nationwide consultation with businesses, trade unions, communities and working people on new laws to protect workers against exploitation.

The consultation, which forms part of the Labour Policy Review, seeks views on a number of proposals including:

·         Minimum sentences for large scale employment of illegal immigrants

·         Stopping the unfair licencing of gangmasters who only recruit from abroad

·         Giving the Gangmasters Licencing Authority power to prosecute a much wider range of abuse

·         Stopping agencies only recruiting from abroad

·         Outlawing shift segregation by nationality

·         Outlawing the use of overcrowded housing to get round the minimum wage

·         Strengthening the posted workers directive to stop undercutting of domestic workers and protection of posted workers

·         Consulting on the new approach in Germany and Belgium where exploitation is a criminal not just a civil offence

Yvette Cooper MP, Labour’s Shadow Home Secretary said:

“Exploiting migrant workers is wrong and immoral. It is bad for those who are exploited, bad for other local workers who end up being undercut, bad for responsible businesses, and bad for our economy and communities. We do not want to live in a society dependent on the exploitation of cheap migrant labour – it increases low skilled immigration, increases unfairness and resentment. 

“We want clearer, stronger laws so businesses know where they stand and responsible employers know they won’t be undercut, but so that it is clear that employers who use pressure or force to exploit people and get round employment law are committing a crime.”

Chuka Umunna MP, Labour’s Shadow Business Secretary said:

“Under David Cameron, life at work has become more insecure at a time when families are being hit by a cost-of-living crisis. Ministers have made it easier to fire, not easier to hire, watering down important protections for people at work.  This has made it more difficult to tackle exploitation and ensure everyone gets a fair deal and a fair day’s pay.

“We need a government which tackles unscrupulous employers and unfair practices with proper enforcement of the rules, including on the National Minimum Wage. Ministers must close loopholes which allow firms to avoid paying agency workers at the same rates as directly-employed staff.

“By building an economy based on the talents of all we can earn and grow our way out the cost-of-living crisis, generating more middle-income jobs through Labour’s Agenda 2030 plan for better-balanced, sustainable growth.”