Two million workers are trapped in low paid, insecure work where mistreatment is the norm, according to a report published in May. And the shocking thing is that much of this exploitation takes place within the law.
Several factors are identified by the report: gaps in employment law mean that many workers do not get the rights and protections that they would otherwise have; there is a widespread ignorance of employment rights; oppressive immigration laws that force migrants into exploitative work; and too many employers are routinely ignoring the law.
Many people are being forced into becoming a bogus 'self-employed' worker by unscrupulous bosses. Self-employed workers do not have the same entitlements as employees, such as minimum wage, sick pay, holidays and pensions; they will also not receive any of the benefits of flexibility and independence, which many self-employed people do have. They are therefore in a very vulnerable position.
Many employers are now using agencies to find them temporary and casual workers. The report finds that many of such workers are mistreated. In addition, they can legally be paid less than other workers for the same job, and usually do not have any sick pay, holiday, or pension entitlements.
Migrant workers are forced into such vulnerable employment by immigration regulations that restrict the opportunities for employment that they have. They are less likely to be aware of any rights they might be entitled to, and often have poor English. As a result migrants are systematically exploited.
Intolerable conditions
One case study that indicates the problems for migrant workers, is examined in the report; that of Radek and Vera, a young couple with a child, from Slovakia and the Czech Republic. They do not understand their rights in the UK, and lack fluent English. This has put them into a vulnerable position, in which they are exploited by employment agencies. They are scared to stand up for themselves, for fear of losing work.
The report also tells the story of Imran, a British Bangladeshi man, who was referred to an agency by the Jobcentre, and was employed as a housekeeper and porter for a public service provider. The agency underpaid him, and when he pursued his wages his employment was terminated. He has a family to support, and has been left in a dire financial situation that is badly effecting his health.
Robert, a 40 year old ex-coal miner, works as a car valet. His company has registered him as a bogus self-employed worker. He works 50-60 hours a week, and gets on average £250 a month for cleaning cars, and is paid per car cleaned. While in theory he should gain some freedom from being self-employed, in practice, the company he works for 'strongly recommends' certain behaviour, and workers who don't tow the line are sent home.
But what are the solutions to this endemic situation of exploitation?
The report suggests that the government and trade unions spend more time and money on educating workers about their rights. To put this into context, the current budget for national minimum wage awareness is less than a fifth of the advertising budget for the Government’s campaign against benefit fraud .
The report also calls for the improved union organisation of vulnerable workers. Those most in need of union support are those least likely to be organised: in the lowest-paid sectors of employment, union membership rarely exceeds 10 per cent. The report outlines some of the successes that unions have had in improving conditions for vulnerable workers: The Justice for Cleaners campaign, led in the UK by Unite; Migrants organised by GMB; and agency workers by PCS.
The report also argues that good employment conditions 'can be good for business', however it is rather weak and unconvincing on this point. The advice the report gives on solving the problem of vulnerable employment falls short of challenging its root causes, which lie with the fundamental inequities of a market economy.
To stop exploitation completely, workers must take control of, and manage, their own workplaces. They can then democratically decide on fair working conditions and fair rates of pay for themselves. Examples of this working in practice can be found in the "recovered factories" of Argentina, and are a source of inspiration for anyone wishing to bring our economy into the control of the people, and take it away from the bosses and the rich.
If you are a worker in vulnerable employment contact the Industrial Workers of the World, who have had recent successes in helping and organising vulnerable workers including Starbucks' "barristas". Visit - www.iww.org.uk
Sources:
For the full Commission on Vulnerable Employment report - http://www.vulnerableworkers.org.uk/
On worker self-organising - http://en.wikipedia.org/wiki/Worker_self-management#South_America
The IWW and Starbucks workers - http://www.starbucksunion.org/
