97th GLAA Board Meeting

1

Welcome and apologies

The Chair welcomed all attendees to the meeting.

Apologies noted as above.

SM appointed as Board Conscience.

2

Declarations of interest

SM declared the following:

• Chair designate, ACCA, Regulation Board
• Member, Standards Investigation Panel, IPSO

3

Minutes of the previous meeting

The Board reviewed two sets of minutes from 19 May 2025 and 18 July 2025. There was general agreement to sign them off, with the one amendment noted for the July minutes.

A few concerns and edits were also raised about the tone and language. One member felt the language used was too gracious and not reflective of the Board’s tone. It was suggested future minutes should better capture the tone and nuance of conversations.

Decision

The minutes from 19th May 2025 and 18th June 2025 have been approved following addition of the suggested amendment.

4

Outstanding Actions

Outstanding Actions:

BM94(10) – HOSU are picking this up. NEDs expect to receive a letter from HOSU.

Closed Actions:

BM94(9)

BM95(2)

BM95(5)

BM96(1)

BM96(2)

BM96(3)

BM96(4)

5

CEO Update, Elysia McCaffrey

MoU with the Uzbekistan Government:

The GLAA Board has signed a refreshed Memorandum of Understanding (MoU) with the Uzbekistan Government. Uzbekistan has made significant reforms to meet UK standards, including removing third-party recruitment, eliminating job-switch fees, and covering workers’ tuition. These changes were seen as a strong commitment to ethical labour practices. A working group is being formed to share best practices among other countries, with the first meeting expected soon.

Better Hiring Institute Guide for HR:

The Better Hiring Institute has published a valuable resource aimed at stopping worker exploitation. Developed in partnership, the guide focuses on the role of HR professionals in identifying and addressing exploitative practices. The guide was launched with direct involvement from the GLAA’s CEO, who provided the foreword, and has played a key role in promoting it. The Board recognised the importance of this leadership in driving awareness and credibility and expressed enthusiasm about promoting the guide to influence mainstream employment practices.

Partnership with HMRC:

The Board discussed the ongoing partnership with HMRC, which is formalised through an MoU. The Board acknowledged this valuable and strategic relationship, which enhances operational integrity and supports enforcement efforts.

Violence against Women and Girls Masterclass:

The Executive reflected positively on the recent Violence Against Women and Girls (VAWG) Masterclass delivered by JM. The session was described as well-attended and impactful.

Board members noted a visible cultural shift in how staff engaged with the topic, suggesting growing organisational maturity and openness around sensitive issues. The Masterclass was seen as a valuable learning opportunity and part of a wider effort to embed awareness and support across the organisation.

6

Home Office Update

HOSU: Niall Donnelly

Cabinet Office Reshuffle:

HO confirmed that Jess Phillips MP has retained her ministerial portfolio following the reshuffle. 

Finance – Additional Funding:

The Home Office announced an allocation of £113,000 in additional funding to the GLAA for the current financial year. This funding was secured through internal budget reallocation efforts and is intended to help mitigate the organisation’s current overspend. While welcomed, it was noted that the funding comes with the expectation that GLAA will manage remaining budget pressures carefully. The Board expressed their gratitude to HOSU for the additional funding, acknowledging the significant effort involved in obtaining it.

Annual Reports and Accounts: (Karen O’Brien)

The ARA is currently with the National Audit Office (NAO) for review.

Early feedback from NAO has been positive. The timeline for finalisation is still set for early December. A follow-up meeting with NAO is scheduled to clarify progress and next steps.

HO Modern Slavery Unit: Isobel Robinson

DLME Annual Report:

The HO is working with the Office of Director of Labour Market Enforcement (ODLME) on the finalisation and publication of the next annual report.

Responsible Business Conduct Review:

A government review is underway to assess its approach to responsible business conduct, particularly in global supply chains.

Victim Identification – Call for Evidence:

A public call for evidence was launched on 16 July, closing on 8 October, focusing on:

• Clarifying the definition of a victim of modern slavery.
• Improving decision-making in the National Referral Mechanism (NRM).

Workshops are being held with experts, survivors, NGOs, police, and local authorities. A government report will follow, summarising key findings and themes.

Upcoming Roundtable:

The next Modern Slavery Roundtable is scheduled for 15 October. It will include updates on the Modern Slavery Action Plan, a spotlight on child trafficking, and a presentation of short-term policy recommendations from sector leaders.

7

People Strategy Metrics, Karen O’Brien

The progress against the organisation’s People Strategy was presented and showed the following highlights:

• Staff Engagement: The latest survey showed strong results, with 98% of staff agreeing that their line manager creates a positive atmosphere at work. The overall engagement score was 70%, considered excellent given the organisational transition.
• Sickness Absence: A revised policy has been introduced to support managers in addressing long-term absence and performance issues. While historical absence data will continue to affect metrics until March 2026, the new framework allows for more timely and formal interventions.
• Retention: Staff turnover remains low. The Board discussed the tension between budget constraints and staffing needs, noting that the current headcount exceeds available funding.
• Learning and Development (L&D): Although not a formal metric in the Board pack, L&D was highlighted as an area of ongoing focus.
• The Board agreed to defer oversight to the People and Culture Committee.

Board Reflections

• Appreciation was expressed for the clarity and simplicity of the metrics, acknowledging the effort involved in developing them.
• The Board agreed that current performance reporting through the People and Culture and Finance and Performance Committee was sufficient.

Decision

The Board agreed to defer oversight of the People Metrics to the People and Culture Committee.

7

Finance and Performance

a)    Financial Position – Justin Rumball

Current Forecast:

The organisation is forecasting an overspend, though efforts are underway to reduce it. Additional funding has been secured, and further reductions are expected through negotiations on Home Office recharges.

Deficit Management:

• An initial overspend of approximately £130k is being addressed.
• Potential savings of £60k–£80k are being pursued

Income Position:

• Income is affected by accounting practices, particularly the recognition of licence fees over 12 months.
• Despite fee increases, demand remains stable, and there is no significant drop-off in applications.
• The fee increase is forecasted to generate £113,500 in additional revenue.

Operational Efficiency:

• Spending is being tightly controlled, with reductions in non-pay areas such as travel, legal and interpreter services.
• The organisation is demonstrating efficiency and transparency in financial management, with evidence available for scrutiny.

Risks and Mitigation:

• The two highest strategic risks are financial sustainability and operational performance.
• Risks are being actively mitigated through recruitment, performance management, and transparent reporting.
• The organisation is described as fragile but functioning, with strong governance and agile management practices.
• Concerns were raised about the potential impact of staff losses on performance, especially given the small team size and high workload.

Future Considerations:

• The transition to the Fair Work Agency is a key factor influencing financial planning.
• There is ongoing monitoring of inspection performance and licence compliance, with a focus on maintaining service delivery despite resource constraints.

b)    Strategic Performance Dashboard – Megan Bethell

Overall Position

• The GLAA is currently delivering on the majority of its strategic objectives, but performance is described as fragile and highly dependent on goodwill from GLAA colleagues.
• Despite financial and operational pressures, the organisation is functioning effectively, with strong governance and agile leadership cited as key strengths.

Operational Delivery

• Performance metrics, particularly around licensing, are being exceeded. Whilst targets around inspections continue to stretch the organisation. The Board acknowledged they will receive a deep dive on this topic in November’s Finance and Performance Committee.  
• The inspection regime is more targeted and intelligence-led, with a shift from blanket application inspections to higher risk compliance new business inspections.
• This is delivered by small teams, where even the reduction of one staff member can significantly impact performance.

Transition to Fair Work Agency:

• The upcoming transition is a major strategic consideration, with performance during this period seen as critical to shaping the future agency’s foundation.
• There is a need to ensure continuity and stability in operations while preparing for structural changes.

8

Risk, Megan Bethell

a)    Risk Management Policy

The conversation around risk management policy was relatively brief but touched on several key points:

New Fraud Prevention Legislation:

A Board member raised awareness of new legislation on fraud prevention.

GIAA confirmed that internal reviews are underway to assess its impact on GLAA processes. It was agreed that further detail would be provided later, and that while current risk mitigation processes are believed to be adequate, awareness and adaptation to the new legislation are necessary. The Board acknowledged the importance of staying informed and responsive to legislative changes.

Risk Mitigation and Awareness:

There was general agreement that GLAA’s existing risk mitigation processes are in place and functioning.

Risk Management Diagram:

The Board agreed People and Culture Committee should be included in the risk management diagram, to reflect their role in oversight of people risks.

b)    Risk Management Appetite Statement

The Board briefly discussed the Risk Appetite Statement and were content that the ARAC had already agreed the Statement.

Decision

The Risk Management Policy approved following the addition of P&C into the risk management diagram.

Decision

The Risk Management Appetite Statement was approved.

11

Deep Dive – Risk

Strategic Risk Focus and Prioritisation

The Board began the deep dive by revisiting the strategic risk register, noting the two highest risks were financial sustainability and operational performance. Board members felt the risk register was not truly reflective of the organisation and that the Executive should review the risks considering strong performance and recent clarity on the budget. There was agreement on the need to focus on the most critical risks in the final six months before transition to the FWA. Clearer articulation of mitigation actions and supporting evidence was identified as a priority to strengthen the register’s value.

Financial Risk and Mitigation

Financial risk was discussed extensively, with acknowledgement of the organisation’s fragile financial position despite recent support from the Home Office. Assurance activities had been undertaken and shared with the relevant committee. The Board agreed that although the financial risk remained high, the mitigation narrative should reflect proactive steps taken, including cost control, departmental escalations, and efficiency measures. Transparency and realism were emphasised as essential in communicating the financial position.

Operational Resilience

Operational risk was described as “fragile but functioning.” The Board discussed the impact of staffing pressures on inspection performance, noting that while targets were currently being met, the system was highly sensitive to resource loss. Redistribution of staff across teams had helped maintain performance, but further attrition could quickly destabilise delivery. The Board endorsed the need to escalate the corporate risk on single points of failure in key roles onto the strategic risk register.

Governance, Escalation and Departmental Engagement

The importance of demonstrating how strategic risks are escalated to relevant departments was highlighted, particularly given the overlap between Home Office and DBT responsibilities. The Board committed to ensuring risks are communicated clearly and in a timely manner to support informed decision-making. There was also discussion about how the risk register could better reflect the organisation’s success in managing risks, rather than presenting an overly negative narrative.

The Board emphasised that the GLAA is succeeding despite its constraints, and that this message should be central in any engagement with the FWA or sponsoring departments.

Decision

Escalate corporate risk 8 ‘Single Points of Failure in Key Roles’ to the Strategic Risk register.

Action BM97(1)

The Executive to review the Strategic Risk Register to ensure risk ratings accurately reflect the organisation’s current performance and circumstances.

9

Board Conscience Feedback

It was observed that the meeting was well-paced and efficiently structured, with the agenda encouraging strategic focus. The Chair appropriately deferred any off-topic conversations to the scheduled risk deep dive and consistently reminded the Board to keep the GLAA’s remit in mind, avoiding distraction by FWA matters.

Board members were actively engaged, raising thoughtful concerns in a collegiate atmosphere.

10

AOB

None.

Date: 18th November 2025