More than this, employers are already required to verify right to work when they employ someone, either by physically seeing a passport or by means of an existing government system which allows them to verify visa status with an online "share code". They can be fined if they don't.
There's zero reason to believe employers which currently ignore this requirement (and likely minimum wage etc as well) will suddenly start complying because there's a "digital ID" instead.
Since the Tory gov you have to supply various ID to work in (legitimate) businesses or rent from (legitimate) land lords.
The only extra kind of enforcement this enables for these cases is demanding ID cards off people where they live or work.