Are you opted out or opted in?

[Wanderer]

I'm wondering about the Conduct of Employment Regulations. Do folks here "opt out" or take the do nothing option which I will call "opt in" for want of a better phrase. There seem to be a lot of conflicting advice about this.

The PCG don't have any clear guidance either way, their website contradicts itself several times.

"PCG recommends contractors judge for themselves whether to opt in or out; there is no "right" answer and individual circumstances and preferences are always important."

But then goes on to say "PCG expects that most of it's members will choose to opt out".

As for IR35, contractor calc think that the regulations are "automatically tipping them into IR35".

On the other hand, the PCG say that "Opt out is unlikely to make a major difference to IR35 status" and Contractor UK agrees saying that it's most likely IR35 neutral.

Reasons for opting in include:

A time limit on exclusion clauses in contracts which prevent you from going permie (perish the thought) or working direct with the client or through another agent to 14 weeks from the start of the contract or 8 weeks from the end, whichever is the longer.

The agency can't withold payment if there is no timesheet.

Many contractors will be opted in anyway becasue the contractor and their LTD company failed to opt out before they were introduced to the client.

Reasons for opting out? If it's not an IR35 pointer then I can't see any... I'm sure someone here will disagree.

[malvolio]

PCG has a very detailed guide on the Opt Out position, available to members. There's a decent summary of it all on my blog, if you want to look it up. However they are written for all freelances, for most IT-related contractors the arguments are not very clear cut and the peceived benefits of opting in largely illusory, hence the apparent confusion.

My view is to ignore it all anyway. While the agency may think you are opted out, 99% of the time a court would find you were opted in unless you were very careful about opting out indeed.

[The Wikir Man]

Only once have I had an agency correctly ask me to opt out before being introduced to the client.

And even then, they tried to get me to opt out after I had interviewed and accepted the role. Their "legal team" said you can opt out any time before you start. I told them my "legal team" said differently.

[swamp]

My opt out form is lying on my desk at Client Co. I haven't filled it in yet and the agent hasn't asked for it.

Generally I bluff and fumble the opt out issue with agents. I like the option of working direct, or through a different agency soon after the contract has finished.

[Scrag Meister]

I had the option on the contract I signed last week.

I selected opt out, had already been introduced to the client and therefore automatically opted in!! :-)

[xchaotic]

Hi guys.

It looks like opting-in, other than IR35 is good for you.
In my coming contract I will have to have timesheets signed etc anyway so it looks that falling under the agency regulation wouldn't be a bad thing when it comes to ensuring that my Ltd is being paid etc (very unlikely problem in that contract but why not).
So I already had an interview in person with the end client so even if I do sign the opt-out paper, I'm opted in already, right?

[chef]

Failed poll - there is no option for "I work in Germany where such nonsense isn't asked"

[dynamicsaxcontractor]

Failed poll - there is no option for "I work in Germany where such nonsense isn't asked"

Should also be an option for - Working direct.

[SueEllen]

Should also be an option for - Working direct.

WHS

[Boo]

Only once have I had an agency correctly ask me to opt out before being introduced to the client

In my opinion "introduced" in this case means introduced into the workforce (ie starting work) rather than introduced as in being sent for interview.

Boo