Hunting down the rogue gangmasters
Chairman of the GLA, Paul Whitehouse, spoke to Christopher Goodfellow about the authority’s approach
A life-long career as a policeman has shaped the rhetoric of the Gangmasters Licensing Authority’s (GLA) chairman and his mission to halt worker exploitation.
In person Paul Whitehouse is meticulously calm, as he advocates the ‘Broken Windows’ theory — which suggests that dealing with crimes swiftly prevents further offences — with mild-mannered prose.
However, when an Ilford-based gangmaster had its licence revoked, Whitehouse gave a more colourful response: “A tough approach is needed to deal with these crooks… this is a scandalous case of exploitation.”
When asked about the tough-talking rhetoric he uses in public, Whitehouse gives a wry smile: “That was a decision we took very early on,” he says, explaining the organisation needs to have a high profile to be effective.
Whitehouse wants the bad apples in the barrel to fear the GLA, to give the sense that the organisation — which was set up to protect workers in the agriculture, forestry, horticulture, shellfish gathering and food processing industries — is somehow more omnipresent.
And it’s the theory which has helped him form the organisation’s strategy. “It’s about respect for the law,” he says, explaining that the perception from the industry must be that offences won’t be tolerated.
However, Whitehouse is keen to dispel views that the organisation is too heavy handed, wanting to reassure the industry that legitimate employers and recruiters have nothing to fear and that the GLA exists to protect their businesses.
“It’s a common misconception that we are enforcing new legislation; this is not the case.
“We are making sure you won’t be undercut. This has been useful for the good guys — it’s only the 100 or so bad operators which are giving the industry a bad name we are interested in,” he says.
Regardless of the heated responses rising from its enforcement activities, the organisation does have an ethos of listening to its licence holders.
When Whitehouse took the helm the first thing he did was ask staff if they had made a lot of mistakes, applauding those willing to admit to learning and evolving their approach the hard way. “We are very particular about apologising when we are wrong. You need to be responsive when you don’t get things right; you need to be able to explain yourself and be accountable.”
In one example, the licence application process has been updated so that those who are likely to be turned down are warned and told what processes they need to put in place, rather than simply having their application rejected. So far, most gangmasters appear to agree with the approach. A survey completed earlier this year found 79% of members surveyed backed licensing, with only 18% describing their contact with
the GLA as ‘burdensome’.
The amount of intelligence it’s receiving has also been snowballing as the organisation’s profile grows. At the moment the GLA is receiving tip-offs from workers, other labour providers, end users and government departments. “HMRC [Her Majesty’s Revenue & Customs] thinks we are a great ally, and we have been on raids with the border agency,” says Whitehouse.
The information it receives is then sorted using the National Intelligence Model, which assesses its strength and importance, helping the organisation calculate what needs to be actioned and when. If it’s a ‘critical breach’, such as paying under minimum wage, it will be dealt with the same week.
However, the authority’s ability to process the information is being tested. “We are just reaching the point where we can’t do that on a weekly basis every time,” says Whitehouse, adding the organisation has just received the approval to hire four new staff.
The GLA has also started working with the supermarkets, believing they can help the organisation gain a more complete picture of the supply chain. “We have agreed with all the big supermarkets to share information about their principal suppliers, it gives us more complete intelligence.”
“In return we will give information about the problems so they know what they have to look for when they are doing their inspections,” says Whitehouse (for more information, see News Analysis, p12).
The difficulties of the current economic climate have also increased the amount of information the body is receiving, and the amount of offences which are being committed.
“The recession is going to make it more difficult and we have to be more active to the tricks people play. “It means [the illegitimate] gangmasters are more likely to step over the line. If you are a good business you may get undercut,” says Whitehouse.
One such trick the GLA has come across is the use of ‘lifeboat’ companies. Under these arrangements rogue gangmasters set up and licence two companies, only to move the workers between the operations when one gets shut down.
Two years after its creation through the Gangmasters (Licensing) Act 2004, the sectors the body covers could be extended, increasing the number of workers it protects. A recent report from the Home Affairs Select Committee has called on the GLA’s remit to be widened. The report highlighted the construction sector as the possible ‘first focus’ of these moves, and trade union Unite has weighed in with its support.
Whitehouse says the GLA doesn’t have an opinion on the possibility of extension, but that he personally feels that there is a “very strong case for it”.
“We have the basic structure already in place. The overheads would be shared and we could utilise economies of scale. There are lots of MPs who see the logic of it and I would start with the care workers, chamber maids, cleaners.”
And Member of Parliament Jim Sheridan tabled a Private Member’s Bill on 10 June to do just that. The proposal was approved and the bill will have its second hearing in October.
Whatever the conclusion, Whitehouse will continue on his mission: “I didn’t know much about the exploitation that went on when I took on this post. Now I’ve seen what there is out there I’m determined to eradicate it. If that means people are scared of us, then so be it.”
GLA HIGHLIGHTS
5 February 2004
Morecambe Bay tragedy, Chinese cockle pickers drowned after being sent out at night by their gangmaster
8 July 2004
The Gangmasters (Licensing) Act was passed which allowed the GLA to be set up in response to the catastrophe
29 April 2008
First gangmaster to be found guilty of operating without a licence
June 2009
93 licence revocations (1,230 labour providers currently hold licences)
