Sandwell gangmaster deemed worst in UK
The case prompted calls from the GLA to amend the appeals process so substantial legal costs can be recovered from those who “play the system? solely to secure additional profit.
An employment judge upheld the GLA decision to revoke the licence of Lloyds Management Ltd after describing director Prem Singh Johal as having “little grasp of what is required” to run his business.
The company, based in Popes Lane, Oldbury, supplied workers to pick spring onions on farms in Worcestershire and to harvest leeks in Lincolnshire.
Lloyds gangmaster’s licence was revoked in January but once an appeal was lodged, the business was legally permitted to continue operations until the case was heard at court.
Mr Johal was the named Principal Authority on the licence – the person responsible for the day-to-day running of the business.
In his written verdict, employment judge David Perry, said, “I am of the view that Mr Johal had little grasp of what is required of him as a principal, indeed he admitted as much.”
GLA chief executive Paul Broadbent said the case provided clear evidence to support re-examination and revision of current regulations.
“In this case, the company whose licence we revoked did nothing but seek to delay the appeal hearing thus allowing them to continue to trade and make money,” he said.
“At court they offered no explanation or evidence in defence of their actions. It was a perfect example of how the current appeals process can be abused.
“That’s why we need to take a long, hard look at our appeals system and investigate how the GLA might be permitted to recover costs from those who exploit the system for profit.”