Umbrella Companies | Recruiters against licensing

Recruiters against licensing

The REC is calling for the current enforcement mechanism for the recruitment sector to be protected and enhanced.

Recently, the REC stated that it was against any extension of the Gangmaster Licensing regulations and pointed out that there were more effective methods to raise standards.

The Confederation said that government must not burden recruitment agencies with further costs and red tape when the sector is trying to get to grips with the AWR and upcoming reform of pensions. The recruitment sector is already one of the most heavily regulated of all the service industries.

There was licensing regime in the UK’s recruitment industry until 1996 and the REC says it didn’t work. Whilst they support the GLA aims, there are real questions as to how successful it has been in eliminating rogue providers.

There are concerns however that public sector spending cuts could impact on areas such as the Employment Agency Standards Inspectorate.

Tom Hadley from the REC said that the organisation has repeatedly called on Government to provide effective enforcement of the current regulations. He believes that dismantling the current regime would not offer the protection necessary for law-abiding businesses and workers.

The REC thinks that addressing bad practice and enhancing standards within the industry is essential and it welcomes the coalition’s steer to ensure inspections are targeted properly.

Kevin Green, the Chief Executive of the REC, recently wrote to Vince Cable calling for the EAS to be strengthened.

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