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UK: Co's likely to squeeze suppliers to cope with rising costs after Brexit, survey finds; raises concerns about vulnerable workers

"Workers pay the price as big British companies squeeze their suppliers", 18 August 2018

A fifth of British companies have found they use suppliers who are either paying their staff late or at illegally low rates, a survey has found, raising further concerns about the treatment of vulnerable workers...

Industry figures said they expected such abuses to get worse as a result of Britain leaving the European Union when companies are likely to squeeze their suppliers even more to cope with rising costs. Further rises in the minimum wage could also encourage bosses to break the law.

There are already concerns about insecure employment practices, with more work contracted out to workers who are not officially recognised as employees...

[The] group director at the Chartered Institute of Procurement & Supply, said: “The vast majority of British businesses would agree that short-changing their employees is inexcusable, but when it comes to the workers further down their supply chain they don’t have the same level of concern.

“Too often it is the people at the bottom of the supply chain who feel the pinch...”

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