Modern challenges in staffing the berries

SCOTLAND’S weather is traditionally seen as the biggest threat to fruit producers’ livelihoods — yet farm owners face an increasing battle to comply with legislation in time for the picking season.

Linda Tinson, rural business director at Ledingham Chalmers LLP, Stirling, says growers’ difficulties are not all of the land.

Bringing berries to the market is a path littered with issues, and those associated with the employment of seasonal workers — including minimum wage requirements, pension contributions and general employee rights — make picking the berries the outcome of a long line of jobs to be completed up front.

Gone are the days of the schoolchildren of Angus, Fife and Aberdeenshire lining up for short-term, no- commitment ber r y picking jobs.

Legislation today covers every aspect of employment and, for those growers deciding to take on the role of direct employer there are a succession of key issues which focus on seasonal workers.

The risk of exposure to claims of unfair dismissalorun law - ful discrimination have heightened under increased regulation, looking at fair working hours and remuneration, sick pay and leave entitlement, as well as the minimum agricultural workers’wage.

The administrative burden related to payroll is the most immediate issue in the general management of the workforce, who can no longer be paid by cash in hand — every team member, with a very few limited exceptions, must present their national insurance number before being engaged.

Although many local people are still employed in the industry, overseas workers today make up a large percentage of the seasonal labour force.

Immigration checks to ensure that new staff have the right to work in the UK are essential, with employers facing potential penalties of £10,000 per illegal worker.

Agency workers may also form a core of a grower’s operation.

Legislation governing the relationship between agencies and growers aims to protect growers from unscrupulous agencies willing to offer illegal workers, but it also compensates agencies for the investment they make in recruitment and can prove expensive.

Agencies must inform the grower on a number of matters including the identity of the worker, whether they have the necessary or required training and/or qualifications and that they are entitled to work in the UK.

The accuracy of the information is warranted, failing which the grower may not have an obligation to make payment. On top of payments due for a worker’s placement with a grower, an agency is also entitled to charge a transfer or introduction fee.

If the grower then employs a temporary worker directly — within certain timeframes — or engages the same worker through a different agency these transfer fees are often unwittingly triggered and can be substantial.

The minimum wage for staff working less than 26 weeks will not change in the current season, under Agricultural Wages Board regulations, but they will increase in October, from £6.11 to £6.22, an increase of 1.8% to impact on 2013 turnover.

Pensions are a further hurdle for those growers with five or more employees, as they must provide access to a pension scheme.

From October 2012, new rules, aimed initially at the largest employers, will require employers to contribute towards employees’ pensions.

Legislation related to the use of agency workers brings a further administrative burden as, for example, after 12 weeks of engagement these employees are entitled to the same basic working and employment conditions as those directly hired by the grower.

Taking appropriate legal advice to ensure that business processes are in place to avoid as many pitfalls as possible is the first step for employers.

There are undoubtedly fewer berry fields and, given the minefield of legislative and bureaucratic requirement laid out before growers, it may seem surprising that Scottish fruit is as reasonably priced as it is — it must be a labour of love.

Linda Tinson.