UK supermarkets and the government have come under attack for failing to stamp out abuse in the use of casual labour in the fresh produce industry.
MPs on the environment, food and rural affairs select committee say they are appalled at failure to prevent the exploitation of part-time farm workers by gangmasters. Many workers recruited by the unscrupulous agents are foreign and some are illegal migrants.
The Commons select committee warned in its report published today that many of these gangs operate outside the law. MPs on the committee which carried out a thorough inquiry into the system believe supermarkets' dominance in relationships with suppliers has contributed to an environment so that the illegal activity of gangmasters' has been able to develop.
Intense price competition and short timescales for orders put pressure on suppliers - leaving little opportunity or incentive to check the legality of their labour sources. The committee also found government has failed to tackle the issues.
But the British Retail Consortium has hit back rejecting the criticisms in the report on behalf of its members: the major multiples.
"Retailers are committed to fair competition and take a responsible attitude to the ethical operation of the food chain," said Richard Ali, director of food policy at the BRC. "As well as adhering to all UK and EU legislation, retailers have introduced procedures designed to prevent the use of illegal practices within their supply systems, such as the use of supplier approvals, utilising the codes developed by the Ethical Trading Initiative; requiring their suppliers to use only government approved agencies when employing staff and issuing reminders to producers of their legal obligations."
He claimed UK retailers have done more than any other part of the food supply chain to promote good practice in supply and stressed that it was not up to the stores or caterers "to act as an on-farm police force. Ultimately government must accept responsibility for enforcing employment, immigration and asylum laws," said Ali.
The report also condemned government, finding: "The enforcement agencies are insufficiently resourced and lack the political backing to make a significant impact on illegal activity within the agriculture and horticulture labour market," it stated.
The report looked at several cases of serious incidents involving foreign workers where some had been housed in containers with no water supply or had contracts with an agreement to re-pay up to £1,000 if they left within six months. Some received as little as £3 after deductions for housing and travel.
But the industry and government is working on a solution. A cross-industry working party, which includes most of the UK's major retailers apart from Asda, the Fresh Produce Consortium, trades unions, the National Farmers' Union and the Ethical Trading Initiative as well as three government departments, has drafted a code of practice. It has also designed field trials which are on-going and due to be completed in November. Results of the trials will be shared with ministers in November and proposals for legislation will be ready by March 2004.
If the trials of the working party's system are successful, it could form the basis for statutory licensing and registration scheme that could also be relevant for other industries. But the FPC said in a statement this is not the only issue. "A licensing and registration scheme is not a suitable subsitute for the role of responsible government ñ to enforce the law," the statement read. "We believe such a scheme could greatly assist companies to exercise their responsibilities ñ to promote compliance with the law in co-operation with the statutory enforcement agencies."
No comments yet