APSCo and the REC have responded positively to news that the Home Office will make a permanent shift to Digital Identity Right to Work (RTW) checks from April 2022, following campaigning by both organisations.
Tania Bowers, Global Public Policy Director at the Association of Professional Staffing Companies (APSCo) commented: “Having fed into the review we’re pleased that the Home Office has taken the decision to move to a permanent Digital Identity RTW solution. The ability to digitally manage these checks during the pandemic proved successful and we’re pleased to see that the progress made during this time hasn’t been lost.
“The new Digital Identity option has a multitude of benefits,” she added. “Not only does it have the capability to reduce potential fraud through using sophisticated technology to verify documents, but it also removes the geographical barriers that the traditional process presented to recruiters, employers and applicants. Removing the need for in-person verification allows businesses to recruit from broader talent pools which is crucial during a time of skills shortages.”
Neil Carberry, Chief Executive of the REC, said: “Recruiters have told us throughout the pandemic that this system is quicker and easier, reducing the time it takes them to get candidates into work while increasing levels of compliance and helping to keep staff safe during the pandemic. These benefits will remain important as the jobs market recovers, in the face of shortages of candidates for key roles.
Carberry does, however, flag concern for the cost of the new system. “With recruiters placing a million temporary workers into roles every day, a system that charges pounds per check will be unsustainable for smaller firms. Every week, hundreds of thousands of checks are undertaken – at that scale, it should be easy to make the process low-cost. This will be a key priority for the REC in the months to come.”
The Home Office review states that the costs of using the new digital system will have to be met by employers. This could vary from £1.45 to £70 per check. The REC conservatively estimates that its member recruitment businesses conduct around 300,000 RTW checks every week. As a result, this could result in millions of pounds of extra costs for business at a time when many are still struggling from the impact of the pandemic, as well as having to deal with increases to National Insurance and rising inflation. Processing costs for online checks like these, at this scale, should be measured in pennies – not pounds.
In addition, these costs will only apply to RTW checks conducted on UK nationals. Meanwhile, for foreign nationals, employers can continue to use the existing free online checking service for overseas candidates. This would result in a two-tier system which disadvantages UK jobseekers in the labour market, while government are also trying to incentivise employers not to rely on workers from abroad.
