Assessment of the Scale and Nature of Labour Market Non-compliance in the UK

The Office of the Director of Labour Market Enforcement (ODLME), sponsored by the Department for Business, Energy and Industrial Strategy (BEIS), is seeking a contractor to undertake research to provide an assessment of the scale and nature of labour market non-compliance in the UK. This research is being co-funded by the Economic and Social Research Council (ESRC). As set out in the Immigration Act 2016, the Director of Labour Market Enforcement (DLME) must produce an annual Labour Market Enforcement Strategy that includes an assessment of the scale and nature of non-compliance in the UK labour market. Three annual Labour Market Enforcement Strategies have been delivered to date, drawing on all available evidence to assess risks and non-compliance. However, due to the chronic underreporting of labour violations and the hidden nature of labour market breaches, there remains a significant evidence gap around the true scale and nature of non-compliance within the UK labour market. As such, this research is a key priority for the DLME and would directly contribute towards their statutory requirements.

Labour market non-compliance covers a broad spectrum of activity, from accidental breaches of the national minimum wage to more severe and deliberate crimes such as modern slavery. At a minimum, the research should attempt to cover all non-compliance offences under the Director's remit. Namely, offences that fall under the remit of the three enforcement bodies: the National Minimum Wage/National Living Wage (NMW/NLW) team in HMRC, the Employment Agency Standards Inspectorate (EAS) in BEIS, and the Gangmasters and Labour Abuse Authority (GLAA).

It is expected that contractors will produce robust quantitative estimates of the volume of breaches across the Director's remit and draw detailed qualitative conclusions as to the types and characteristics of those labour abuses. As such, it is expected that bids will outline mixed methods approaches to undertaking this assessment.

Additional information: Previous work commissioned by the Director (Cockbain et al., 2019) explored potential research methods for undertaking such an assessment, scoping five broad approaches to such research. That report including the authors' findings can be found attached to this notice. It may prove helpful. However, prospective suppliers may wish to propose their alternative methodologies.

If you would like to join the pre-tender event held via Microsoft Teams on the 9th December from 15:00 - 16:00, please register via Eventbrite using this link to receive an invite - https://www.eventbrite.co.uk/e/odlme-esrc-research-supplier-event-tickets-130423677731

The aim of the Supplier Day is to provide further information about the project and procurement process. We will also be giving potential contractors the opportunity to submit questions at the end of the session.

Estimated Date of publication will be 8th January 2021.