The fresh produce industry faces a rude awakening in December, if it does not act now to put its labour-sourcing arrangements in order.

From December 1, companies involved in picking, packing or processing fruit and vegetables will be responsible for ensuring that the labour providers they use are licensed and properly authorised to act as a gangmaster.

Defra has launched a consultation process on the reasonable steps a labour user should take to ensure providers are operating within the law. But insiders fear that huge tracts of the business are still unaware of their new requirements.

There are also concerns that the number of licensed labour providers after October 1 will be insufficient to meet the sector’s demands.

“A lack of licensed labour providers could cause supply shortages after October 1,” said Gangmasters Licensing Authority chief executive Mike Wilson. “The GLA has done everything it could reasonably be expected to have done to warn the industry. It is now up to the industry to do its part, by ensuring that applications for licences are made as early as possible, but certainly no later than September 1.”

There are an estimated 1,000 labour providers in a position to apply for a licence. To date, around 500 have put their applications into the GLA, and about half have had their licence granted.

Association of Labour Providers (ALP) chairman Mark Boleat does not expect suppliers to run short of bodies. “I really don’t foresee any problems in terms of shortages of labour for the large fresh produce packhouses,” he said. “But I still think that there are a large number of labour providers who are unaware of their legal requirements and I don’t think the field gangs are covered at all. The vast majority of fields will continue to operate in blissful ignorance of the law.”

Smaller firms in isolated areas of the UK will face real issues. “There are huge chunks of the country where no operators have applied for a licence. People in these areas who need a few workers for a couple of weeks at a time, for instance, will face difficulties,” said Boleat.

Wilson urges all labour users to look carefully at their providers. “Labour users will be risking the reputation of their business if they use unlicensed labour providers after October 1,” said Wilson.

“Although it will not be an offence for a labour user to use an unlicensed labour provider until December 1, from October 1, the GLA will have the power to stop an unlicensed labour provider at any time, even if it means unpicked or unpacked produce.”

Boleat, however, said the powers of the GLA are limited and parts of its approach misguided. “I have always opposed the requirement for labour users to be responsible for ensuring that their labour providers are licensed. That will cause a lot of problems, particularly the way the government intends to apply it.”

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