The process of licensing gangmasters began last week in line with the schedule drawn up by the Gangmasters Licensing Authority (GLA) in March.
According to the new regulations, anyone supplying workers to agriculture, horticulture and food or drink processing and packaging will face up to ten years in prison and a
£5,000 fine if they do not have a licence by October 1.
Paul Whitehouse, chairman of the GLA, said the authority would help bona fide labour providers continue to operate legally by driving out exploitative organisations.
He commented: “Ethical trading and production is an issue on our own doorstep. It is unacceptable that the food on your table could have been picked, produced or packed by an exploited worker.
“Exploitation of workers is wrong, as is exploitation of the public by not paying HM Revenue & Customs money deducted from employees' wages or VAT collected from customers. The GLA is determined to end this exploitation.”
The Authority has established compliance and enforcement teams to monitor licence compliance and to enforce and prosecute gangmasters who break the law.
The key areas of compliance related to licensing standards are: payment of wages; debt bondage; workers' accommodation; hours worked; breaches in health and safety, including training; recruitment and contractual arrangements; sub-contracting; identity issues and under-age working; legality and rights of workers.