Closing the Loophole<\/h3>\n\n\n\n
This move closes a loophole in the current law<\/a>, which only mandated such checks for formal employees under a contract of service\u200b. Thousands of businesses using flexible labour \u2013 from food delivery and courier platforms to construction, hospitality venues, social care agencies and beauty salons \u2013 were not previously obliged to verify the immigration status of those working for them\u200b. Now all employers, regardless of employment type, must confirm anyone working in their name has the legal right to work in the UK, bringing gig and zero-hours roles in line with traditional employment\u200b.<\/strong><\/p>\n\n\n\n This change is part of a government crackdown on illegal working in the gig economy. In the announcement<\/a> on 30 March 2025, Home Secretary Yvette Cooper announced \u201ctough new laws\u201d to clamp down on unscrupulous employers, noting that \u201cturning a blind eye to illegal working\u201d fuels exploitation and even encourages people smuggling by promising illegal jobs\u200b. <\/p>\n\n\n\n Companies that fail to carry out the newly required Right to Work checks will face hefty penalties, identical to those for hiring illegal workers in regular jobs: <\/p>\n\n\n\n In short, HR leaders must treat gig workers and casual staff with the same compliance rigour as any other employee, or risk severe consequences.<\/p>\n\n\n\n These Right to Work measures arrive alongside broader employment law reforms under the Employment Rights Bill<\/a>, which was introduced to Parliament in October 2024 by the new government. Billed as \u201cthe biggest change to employment laws in a generation<\/a>,\u201d the Bill seeks to strengthen protections for workers across all sectors, including those in the gig economy and on zero-hours contracts. <\/p>\n\n\n\n The flexible labour market is under increased scrutiny and evolving towards greater accountability and worker protections. Notably, the Bill proposes to \u201cend one-sided flexibility\u201d by giving zero-hours and gig workers a right to request a more predictable contract and requiring reasonable advance notice of shifts. Employers must also compensate for any shifts cancelled at short notice.<\/p>\n\n\n\n Other major changes include:<\/p>\n\n\n\n Ministers have signalled a review of employment classifications. While reclassification is not immediate, the government has committed to consulting on clarifying the distinction between \u201cworkers\u201d and the genuinely self-employed. This could foreshadow further reforms \u2013 potentially even reclassifying many gig workers as employees<\/a> entitled to rights like sick pay and holiday pay\u200b. <\/p>\n\n\n\n The Right to Work changes aim to close legal loopholes and combat illegal working, particularly where businesses previously relied on classifying workers as self-employed to avoid immigration checks.<\/p>\n\n\n\n Legitimate employers who already performed Right to Work checks and other employment vetting have long voiced concerns over being undercut. These reforms aim to ensure consistent compliance standards across all employment types.<\/p>\n\n\n\n By applying checks universally and introducing worker protections, the government aims to foster a fairer labour market. Flexibility is not being outlawed, but abuse of it is being addressed.<\/p>\n\n\n\n By extending mandatory Right to Work checks to anyone working in a company\u2019s name, the law will make it much harder for illegal workers to be \u201chidden\u201d in contractor or gig roles. As Immigration Minister Michael Tomlinson explained<\/a> during earlier efforts to tackle this issue, \u201cillegal working puts customers at risk, drives down wages and defrauds the taxpayer. It is vital that we shut down any loophole that allows it to happen.\u201d\u200b<\/p>\n\n\n\n In short, the new rules ensure no form of employment is exempt from basic compliance, protecting both lawful workers and honest businesses from being undercut by black-market labour.<\/p>\n\n\n\n Civil fines up to \u00a360,000 per illegal worker, business closure orders, and director disqualifications await employers who fail to meet compliance. In the most serious cases, criminal prosecution could result in unlimited fines and up to five years\u2019 imprisonment.<\/p>\n\n\n\n Even unintentional failures, such as paperwork errors, may trigger penalties. Reputational damage and safeguarding risks, particularly in hospitality and care, are also significant.<\/p>\n\n\n\n Enforcement raids and audits are increasing. The government is using technology like body-worn cameras and cross-agency data sharing to catch non-compliant businesses.<\/p>\n\n\n\n With the new requirements on the horizon, companies should take proactive steps to prepare. <\/p>\n\n\n\n First and foremost, update your hiring and onboarding processes to integrate Right to Work verification for all workers you engage, including freelancers, gig workers, and zero-hours staff. This means that before any individual sets foot in the workplace or logs onto your app to work, your team should have conducted a proper Right to Work check (for example, examining and copying their passport or biometric residence permit, or using the Home Office online checking service for visa holders).<\/p>\n\n\n\n Ensure you follow the approved checklist of acceptable documents and record the date you checked them, so that you retain a \u201cstatutory excuse\u201d against liability\u200b.<\/p>\n\n\n\n Many organisations are adopting identity verification technology or certified Identity Service Providers to handle remote checks, which takes only minutes to confirm status\u200b. To keep pace with constantly evolving regulations, HR must embrace automation, not just as a convenience, but as a strategic necessity. By automating compliance monitoring and updates, HR teams can stay effortlessly aligned with the latest legal and policy changes, without manual tracking or last-minute scrambles. <\/p>\n\n\n\n If your business operates via a platform or app (as in food delivery or care gig marketplaces), work with your teams to build in compulsory ID\/document upload steps for new joiners, plus periodic re-validation to catch any expired visas.<\/p>\n\n\n\n Training is critical. Train your HR staff, hiring managers, and any frontline supervisors who engage contractors on the new requirements. They should understand that no worker, regardless of label, can be skipped in the Right to Work process. Emphasise that this is now a legal obligation, not just best practice. It may be wise to designate a compliance officer or use an HR compliance software tool to audit that every new starter has a recorded check\u200b. <\/p>\n\n\n\n Businesses that rely on third-party labour (such as temp agencies or labour platforms) should review those contracts: make sure your partners are contractually obliged to perform compliant checks, and ask for evidence or audit rights. In sectors like social care or hospitality where last-minute staffing is common, build in a procedure to verify emergency hires, even if it is someone brought in for one shift, do not assume someone else has checked their papers.<\/p>\n\n\n\n In light of the Employment Rights Bill\u2019s proposals, HR should also start adapting policies for zero-hours and gig workers\u2019 rights. While the Bill\u2019s measures (like the right to request a stable contract or compensation for cancelled shifts) may not be law until 2026, preparing early is prudent. Consider establishing an internal process for casual staff to request guaranteed hours if their work pattern becomes regular. Look at providing a minimum notice period for shift rosters and a policy on payment for late cancellations, to pre-empt the incoming rules. <\/p>\n\n\n\n Prepare for changes under the Employment Rights Bill:<\/p>\n\n\n\n Many forward-thinking employers are already trialling such practices as a recruitment and retention benefit. Similarly, with day-one employment rights on the horizon, you may need to adjust your onboarding and probation processes. For example, ensure managers give feedback and address performance issues early, since the safety net of a two-year dismissal window could vanish.<\/p>\n\n\n\nEnforcement and Penalties<\/h3>\n\n\n\n
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![\"Glasgow](\"https:\/\/certn.co\/wp-content\/uploads\/2025\/04\/Glasgow-City-Scotland-United-Kingdom-Just-Eat-delivery-driver-on-bike-vetted-with-new-Right-to-Work-checks-1024x683.jpg\")
<\/figure>\n\n\n\nThe Employment Rights Bill 2024: A Wider Shake-Up<\/h2>\n\n\n\n
Strengthening Worker Protections<\/h3>\n\n\n\n
Predictability and Notice Rights<\/h3>\n\n\n\n
Day-One Rights and Harassment Prevention<\/h3>\n\n\n\n
\n
Employment Status Reforms<\/h3>\n\n\n\n
Why Are These Changes Being Introduced?<\/h2>\n\n\n\n
Closing Compliance Gaps<\/h3>\n\n\n\n
Levelling the Playing Field<\/h3>\n\n\n\n
Protecting Workers and Businesses<\/h3>\n\n\n\n
Penalties for Non-Compliance: High Stakes for Employers<\/h2>\n\n\n\n
Legal and Financial Consequences<\/h3>\n\n\n\n
Reputational Risk and Enforcement<\/h3>\n\n\n\n
Heightened Enforcement<\/h3>\n\n\n\n
Preparing for Right to Work Compliance in 2025: Tips for HR<\/h2>\n\n\n\n
Update Hiring Processes<\/h3>\n\n\n\n
Leverage Technology<\/h3>\n\n\n\n
Train Your Teams<\/h3>\n\n\n\n
Review Labour Supplier Agreements<\/h3>\n\n\n\n
Anticipate Future Legislation<\/h3>\n\n\n\n
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Stay Informed<\/h3>\n\n\n\n
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