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UK – Government Plan to ban overseas recruitment not fit for purpose

13 August 2014

The evidence behind a proposal to ban recruiters from advertising exclusively overseas has been labelled “not fit for purpose” by the Regulatory Policy Committee (‘RPC’).

The RPC, an independent non-departmental public body, sponsored by the Department for Business, Innovation & Skills, published its opinion on the government’s evidence base for government proposals to prohibit employment agencies from advertising exclusively overseas.
 
The proposed amendment would require all employment agencies and businesses in England, Scotland and Wales to ensure that all jobs based in Great Britain are advertised in Great Britain and that they are advertised in English before or at the same time as they are advertised in another European Economic Area state. 
 
The committee called on the government to strengthen its impact assessment, “so there is a robust evidence base to support the consultation”. This includes ‘(i) setting out a clearer rationale for intervention; (ii) assessing a wider range of policy options for prohibiting overseas-only recruitment, including alternatives to legislation; and (iii) providing a fuller description of the impacts of the regulation on employment agencies, including on small and micro businesses. ”It also called for verification of the number of employment agencies likely to be affected “so that the costs to these businesses can be monetised”.
 
 This is the first ‘red’ rating published by the committee since January and only the 13th since 2010. Last year, the committee published more than 400 opinions on various legislation changes.
 
 The committee said the Department for Business, Innovation and Skills published the impact assessment “before the RPC had a chance to consider it, contrary to the better regulation framework put in place by this government”.

The full impact assessment of the RPC can be read here 

The proposed amendment is open for consultation on a government website, by email or post until 2 September

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