07 May What the New Fair Work Agency Means for Employers and Workers in Construction & Facilities Management

The UK employment landscape is changing, and one of the biggest developments in 2026 is the launch of the new Fair Work Agency (FWA).

For businesses operating in construction, facilities management, maintenance, engineering, and labour supply, understanding the role of the FWA is becoming increasingly important.

At Marshall Recruitment, we believe in supporting both our clients and candidates with transparent, compliant, and ethical recruitment practices. As a specialist construction and facilities management recruitment agency based in Cambridge and covering East Anglia, we welcome initiatives that promote fair treatment, legal compliance, and higher industry standards.

What is the Fair Work Agency?

The Fair Work Agency (FWA) officially launched in April 2026 as the UK government’s new single enforcement body for workers’ rights. (GOV.UK)

The agency combines the powers of several previous enforcement organisations, including:

• The Employment Agency Standards Inspectorate (EAS)
• The Gangmasters and Labour Abuse Authority (GLAA)
• HMRC’s National Minimum Wage enforcement team
• The Office of the Director of Labour Market Enforcement

The aim is to create a simpler and more effective system for protecting workers and ensuring employers comply with employment law. (GOV.UK)

Why This Matters to Construction & FM Businesses

The construction and facilities management sectors often rely heavily on temporary labour, subcontractors, and agency workers. While this flexibility is essential for projects and maintenance contracts, it also means businesses must be particularly careful about compliance.

The FWA will focus on areas including:

• National Minimum Wage compliance
• Holiday pay and record keeping
• Agency worker rights
• Labour exploitation
• Employment tribunal enforcement
• Umbrella company compliance (expected from 2027)

Construction has historically been identified as a higher-risk sector for labour exploitation and non-compliance, particularly where complex subcontracting chains exist. (GOV.UK)

Increased Enforcement Powers

The Fair Work Agency has been given significant enforcement powers, including the ability to:

• Carry out workplace inspections
• Investigate employers and labour providers
• Request employment records and payroll information
• Issue civil penalties
• Recover unpaid wages and holiday pay

Businesses found to be non-compliant could face financial penalties, reputational damage, and increased scrutiny. (Birketts)

One key change already affecting employers is the requirement to keep holiday pay and annual leave records for up to six years. (CIPD)

What Employers Should Be Doing Now

For employers across Cambridge, East Anglia, and the wider construction and FM sectors, now is the time to review internal processes and labour supply chains.

Key areas to assess include:

Worker Classification

Ensure agency workers, subcontractors, and self-employed operatives are correctly classified.

Payroll & Holiday Pay

Review payroll systems and confirm holiday pay calculations are accurate and fully documented.

Right to Work & Compliance Checks

Maintain robust right-to-work checks and clear worker records.

Agency Partnerships

Work with recruitment partners who understand compliance obligations and industry legislation.

Record Keeping

Ensure employment records, contracts, timesheets, and holiday records are stored correctly and can be accessed if required.

How Marshall Recruitment Supports Compliance

At Marshall Recruitment, compliance and worker welfare are central to how we operate.

We work closely with construction companies, FM providers, maintenance contractors, and developers across East Anglia to supply reliable, fully vetted workers while helping clients meet their legal responsibilities.

Our processes include:

• Thorough candidate screening
• Right-to-work verification
• Clear pay and contract transparency
• Ongoing compliance monitoring
• Strong communication with both clients and candidates

We believe good recruitment is about more than simply filling vacancies — it’s about building long-term partnerships based on trust, professionalism, and fair working practices.

Final Thoughts

The launch of the Fair Work Agency marks one of the biggest shifts in UK employment enforcement in recent years.

While compliant businesses should not fear the changes, the new agency is likely to increase scrutiny across sectors that rely heavily on temporary and agency labour — including construction and facilities management.

For employers, this is an opportunity to strengthen processes, improve transparency, and ensure workers are treated fairly.

For workers, it represents greater protection and clearer enforcement of workplace rights.

If your business would like advice on compliant recruitment solutions within construction or facilities management, the team at Marshall Recruitment is here to help.

Contact Marshall Recruitment today to discuss your staffing requirements across Cambridge and East Anglia.