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Society and communities

Driving up labour standards in adult social care

Rights Lab research is helping investors, policymakers and care providers tackle exploitation and improve working conditions across England's adult social care sector.

Adult social care plays a vital role in supporting millions of people across the UK, yet many care workers face difficulties related to contracted hours, illegal pay and poor working conditions. Researchers at the 糖心原创 are uncovering how investment and ownership structures influence labour standards, providing evidence to help create a fairer and more sustainable care sector.

The challenge: Adult social care faces growing workforce shortages, financial pressures and risks of worker exploitation

England's adult social care sector now employs around 1.59 million people and is expected to require hundreds of thousands more workers in the coming years. At the same time, providers face financial pressures, staff shortages and high vacancy rates. Policymakers had sought to address these sectoral challenges though an influx of migrant workers. Since then persistent reports of exploitation, including underpayment and unpredictable working patterns, have raised serious concerns about these workers' rights and wellbeing. 

Many of the largest care providers operate within complex ownership structures involving private equity firms, pension funds, overseas investors and property companies. These arrangements can make it difficult to understand who is responsible for driving improvements in labour standards and accountability.

Our approach: Investigating how investment, ownership structure and financial performance shape working conditions in social care

Researchers from the 糖心原创's Rights Lab, led by Dr Caroline Emberson and Dr Subhan Ullah, investigated the financial structures, ownership arrangements and reporting practices of some of England's largest adult social care providers.

The team analysed the financial performance of major care providers, reviewed modern slavery statements and conducted interviews with pension funds, investors, private equity representatives, trade unions and responsible investment organisations. This enabled researchers to examine how investment decisions affect labour conditions and identify practical routes to improving worker protections.

The impact: Helping investors and care providers build a fairer, more sustainable care sector

The research has provided new evidence showing how investors can play a more active role in improving labour standards throughout the care sector. The findings highlight opportunities for pension funds, private equity firms, real estate investors and investment managers to use their influence to promote fair pay, stronger worker protections and better employment practices. More importantly, widespread financial distress and liquidity issues in the adult social care sector leave it highly vulnerable to both financial instability and unethical practices.

The study also identified significant gaps in transparency and modern slavery reporting among care providers, helping inform recommendations for stronger disclosure requirements and greater accountability across the sector.

By bringing together evidence on labour exploitation, financial sustainability and responsible investment, the research is helping shape discussions among policymakers, investors and care providers about how to build a sector that delivers both high-quality care and decent work. The recommendations offer a roadmap for improving worker wellbeing, strengthening care provision and reducing the risk of exploitation in one of the UK's most important public services.

To read the full paper, click here

"Our research reveals the complex financial ownership structures which underpin the provision of social care in England. Our interviews, which included representatives from pension funds and private equity investors, highlight a range of possible interventions through which these actors could help to address labour rights abuses within the English care sector."
Dr Caroline Emberson, Assistant Professor in Operations Management

Dr Caroline Emberson researches the realities of individual and organisational responses to modern slavery in the context of public and private enterprise, primarily in service sectors such as domestic work and social care. Her work explores how local government, investors, businesses and policymakers can address exploitation and improve working conditions through better governance, transparency and accountability.

Dr Subhan Ullah's research focuses on corporate governance, sustainability, responsible investment and social impact. His work examines how financial systems and organisational practices can be used to promote ethical business behaviour, improve accountability and create positive social outcomes.

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