What is the Fair Work Agency and what powers does it have?

The Fair Work Agency (FWA) is the UK's employment rights enforcement body. It was established on 7 April 2026 under the Employment Rights Act 2025 and brings together a number of existing enforcement functions into a single organisation. Its purpose is to protect workers, support fair competition and help ensure employers comply with employment law.

The Fair Work Agency has powers to:

• Investigate suspected breaches of employment law.
• Enforce rights relating to areas such as National Minimum Wage, agency worker protections, holiday pay and Statutory Sick Pay.
• Require employers to provide information and evidence.
• Enter premises and inspect records where permitted by law.
• Recover money owed to workers and impose financial penalties on non-compliant employers.
• Take enforcement action against employers that deliberately or repeatedly breach employment rights.
• Tackle labour-market non-compliance and exploitation within its statutory remit. Questions of employment status may still require determination by an employment tribunal or court.

The Fair Work Agency complements existing routes such as trade union representation, Acas and employment tribunals. Workers can still seek advice, pursue grievances and bring tribunal claims where appropriate.

What this means for union reps

• The Fair Work Agency provides an additional route for enforcing employment rights, particularly where workers may be reluctant or unable to bring tribunal claims themselves.
• Reps may need to help members identify situations where enforcement action could be appropriate, such as unpaid holiday pay, sick pay disputes or suspected breaches of employment rights.
• The Agency may be particularly important for vulnerable, low-paid and insecure workers who have historically found it difficult to enforce their rights.
• Strong workplace organisation and collective bargaining will remain essential, but the Fair Work Agency provides an additional mechanism for holding employers to account where legal rights are not being respected.