An intense new review of employer payment principles has sparked concerns across horticulture, warning that NFU could push many on the brink of collapse by forcing them to take charge of all recruitment costs for seasonal workers.
Commissioned by DEFRA and the industry-led Seasonal Workers Task Force, this review highlighted the important financial pressures that such changes bring on producers.
The findings warn that additional costs that cannot be passed on the supply chain will have a serious impact on growers’ financial viability.
While it may be possible to recover some of the additional costs, many companies will still face significant losses. In the worst case scenario, this could lead to closures, job cuts and reduced domestic production.
Employer payment principles require employers to cover all recruitment-related costs in full. Recruitment fees are a widespread problem around the world, especially for low-wage migrant workers who are expected to pay agency and broker fees to secure employment abroad.
Following the review, Martin Emmett, chairman of the NFU Horticulture and Potato Committee, said, “Seasonal workers play a key role in bringing the country’s favorite fresh fruits, vegetables and flowers to supermarket shelves, and the sector simply doesn’t work.”
He added that the review “confirmed what many growers are afraid of.” He added that employers could carry all additional recruitment costs, which could have a serious impact on UK horticulture.
“Most companies already operate at very tight margins, so this pushes off some edges,” he said. “It is at odds with the government’s food strategy ambitions to provide its citizens with easier and more accessible health foods.”
Emmett also noted that the review failed to explore “the prevalence or scale of workers’ debt,” calling it “an important issue that needs to be further thought up to determine the best way to address it while protecting the future of UK horticulture and food security.”
He emphasizes that employers are “deeply concerned about the welfare of workers” and is involved throughout the supply chain to strengthen the conditions for staff already seasonal.
“This review is part of that ongoing effort and we will work with the Task Force to carefully consider the results of the review and agree to the next step without risking the future of UK agriculture and food supply.”
The Seasonal Workers Task Force consists of a variety of stakeholders in the industry.
TaskForce works together to help protect and secure access to UK workers’ rights.
