Fair’s Fair

ACCESSING LABOUR SUPPLY FAIR’S FAIR

POOR PROCUREMENT PRACTICE

FINANCIAL PRESSURE ON THE LABOUR USER FINANCIAL PRESSURE ON THE LABOUR PROVIDER

POOR PERFORMANCE, REPUTATIONAL RISK, NON-COMPLIANCE

WORKER EXPLOITATION

Principles

Fair for workers

Workers receive the pay and rights to which they are legally and contractually entitled; can work safely and are treated fairly in accordance with established ethical labour standards.

Fair for labour providers

Charge rates are sufficient to meet statutory and contractual requirements and provide a sustainable margin.

Fair for labour users

Ethical labour standards for agency workers are adhered to and reputation is protected.

Fair’s Fair is an awareness and education programme to support the commercially sustainable procurement of agency labour so that workers never pay the price of poor purchasing practice. “Payment of fair charge rates to labour providers that enable business sustainability and do not foster worker exploitation or tax evasion is a core ALP policy priority. By understanding the true cost of ethical labour supply and defining fair procurement practice, labour users and labour providers can work together to ensure their labour supply is fair, sustainable and free from exploitation.”

David Camp Chief Executive

ACCESSING LABOUR SUPPLY FAIR’S FAIR

Despite the increased recruitment costs resulting from coronavirus and labour shortages, the ALP’s 2022 Fair’s Fair survey revealed that results were only marginally improved over the last two years with poor procurement practice still widespread.

63%

reported payment terms of 60 days or more

37%

reported retrospective discounts

75%

were repeatedly paid late

8%

were subject to discounts for prompt payment

68%

said clients required extra services at no extra cost

10%

were subject to entry fees or ‘prebates’

33%

said that a client had asked them to absorb part of a statutory annual increase

31%

reported that clients had refused to cover a statutory cost

ALP’s two open source toolkits were fully reviewed and updated in 2022 and are available from the Fair’s Fair webpage, along with survey results, webinar recordings and the Fair’s Fair RIPPPLine - a confidential route for reporting businesses demanding unfair procurement practices, those offering or paying legally unattainable pay or charge rates for agency workers and the labour providers that supply them.

n ‘How Unfair Procurement Practice is Driving

Agency Labour’ defines and explains the issue, laying bare the impact on labour providers and their workers and explaining how unethical labour providers combat poor procurement practice by exploiting workers and defrauding the exchequer.

n Written in collaboration with the Chartered

Institute of Procurement and Supply (CIPS),

‘Fair Procurement of Agency Labour Good

Practice Toolkit’ offers guidance on key issues around pricing, contracts and due diligence to inform fair procurement practice, by supporting UK buyers to make informed labour supply choices.