Heads Recruitment Ltd

 

30 years – and I’m still a ’temporary’ worker...

There has been confusion (even concern) in recent past as to the employment status of long term temporary/agency workers. 
Some of you may have already seen a letter in this week’s press asking for clarification…

“I have worked on contract via an employment agency for the same client company for more than 30 years.  My contract states I am a temporary worker despite my long years of service…Who is legally my employer?”

 

There were two answers to this query from Employment Law Solicitors, both very similar. 
The more succinct of the two stated:

 

“It is unlikely that you will have an employer.  Employment agency arrangements usually involve a three-way relationship, where an agency enters into a contract with a business client and a separate contract with the temp as an individual.  Normally the agreement between you and the agency will not be an employment contract: you will be self employed.

 

Although you will be self employed, the agency will subject you to deductions in respect of PAYE pursuant to section 134 of the income and Corporation Taxes Act 1988 and Class 1 National Insurance Contributions (tax & national insurance to you and I) and any other deductions the agency may be required by law to make.  You may also be eligible for Statutory Sick Pay, provided you meet the relevant criteria.

 

Relying solely on a lengthy period of time seems insufficient to establish a contract of employment…You will therefore be precluded from claiming certain employment rights, particularly unfair dismissal and redundancy.  You will, however, be entitled to paid holidays and protection from sex, race and disability discrimination.”

The tide has very definitely turned on the perception of temporary worker employment status as long as certain guidelines are followed (I can give you further guidance on this if you wish).  This is reassuring in an environment where flexibility, cost control and confidence in workforce may well be key to survival and ultimately making the absolute most of the upturn when it arrives.

 

Kind regards
Jon Derbyshire

Head Office

Kimada House 442 Flixton Road•Flixton•Manchester•M41 6EY
www.heads-uk.com
• e: jon.derbyshire@heads-uk.com
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