Skip to content

Limited access mode: Please note you need to be an HR Protect client to access some content on this Hub.  Please enquire.

20. Introduction of a New Agency

20. Introduction of a New Agency

20.1. The new Fair Work Agency, an executive agency of the Department for Business and Trade, will be able to enforce rights as well as providing advice to employers on compliance with the law. According to the government, the current system relies largely on individuals taking personal responsibility for enforcing their rights, resulting in the failure of employers to be challenged on breaches.

20.2. The Fair Work Agency will be responsible for co-ordinating the enforcement of a wide range of employment rights including the National Minimum Wage, statutory sick pay and holiday pay. It will provide a central unified authority as a point of contact, bringing together existing enforcement bosies such as the HMRC (for minimum wage purposes), the Employment Standards Inspectorate and the Gangmasters and Labour Abuse Authority. It will have powers to challenge businesses that breach the law, and enforcement powers such as the issue of civil penalties, recovery of enforcement costs and the ability to take cases to employment tribunals on behalf of workers. It will be established on the 7th April 2026.