14.07.2023

Labour users due diligence is more vital than ever

The net is closing in on labour users who tolerate exploitation of labour within their supply chain. On the one hand, the current consultation into umbrella company practices may well conclude by passing liability for unpaid taxes onto the end users of labour - a seismic change. On the other hand, this article about Burmese workers taking Tesco to court for allegedly turning a blind eye to the conditions they worked under in producing garments in a Burmese factory for the company also demonstrates that momentum is gathering to ensure that those who use labour must be far more pro-active in auditing their suppliers. As can be seen by the vast backpayments being made by Uber to their drivers, the fact that legislation has not yet been enacted to hold labour users to account does not mean that, when it is, those backpayments could be vast and spread over many years.
 

https://www.google.co.uk/url?sa=t&rct=j&q=&esrc=s&source=web&cd=&cad=rja&uact=8&ved=2ahUKEwjB2OGNho6AAxXJQEEAHQgzBvYQFnoECBkQAQ&url=https%3A%2F%2Fwww.theguardian.com%2Fworld%2F2022%2Fdec%2F19%2Fhow-big-brands-like-tesco-are-drawn-to-wild-west-of-global-supply-chain&usg=AOvVaw33slI04_1IQ_B40qh50z7J&opi=89978449