Conduct of Employment Regulations - Opting out?

[Hiram King Of Tyre]

What is it in plain English?

Should I opt out?

Do I have a choice?

[Lucifer Box]

Q: What is it in plain English?
A: Conduct of Employment Agencies and Businesses Regulations

Q: Should I opt out?
A: That's up to you. Depends whether you see yourself as a permatemp or a dynamic captain of industry running an entrepreneurial tech company. See also outline above.

Q: Do I have a choice?
A: Yes, and you are deemed to have opted in unless you have opted out. It is not legal to make "opting out" a prerequisite of obtaining a contract.

[insight14]

Some light reading for you:

http://www.dti.gov.uk/er/agency/conduct.pdf

Basically the regulations are there to protect you from agent's shenanigans. The 2 most important are:

Reg 6 stops agents from putting in handcuff clauses. It also allows you to go direct with the client at the end of your contract (note Reg 10 deals with the client-agent relationship)

Reg 12 means the agent has to pay you in a timely manner, regardless of when and whether the agent gets paid.

So to answer your questions - No, don't opt-out unless the agent makes it worth the risk to you (an extra £75/day would do it for me). And yes you have the choice before you are introduced to the client.

[The Lone Gunman]

The regs also force the agent to agree any terms with you that they must ensure before placing you. So if you make those terms state that there must be matching terms in client/agent and you/agent contracts, that the agent and client agree this is a contract for services and that the agent produces a letter of intent signed by all parties, then you have a pretty good piece of evidence to get round IR35.

Not many agents will agree to the above so then offer to opt out for the same set of documents and clauses in an opted out contract. This would be a big win for them and they may go for it.

Rocker. I am no expert, nor am I legally qualified. This advice is not worth the paper it is printed on and I am not responsible if you act upon my advice without getting proper legal advice as to its validity.

[tim123]

The regs also force the agent to agree any terms with you that they must ensure before placing you. So if you make those terms state that there must be matching terms in client/agent and you/agent contracts, that the agent and client agree this is a contract for services and that the agent produces a letter of intent signed by all parties, then you have a pretty good piece of evidence to get round IR35.
.

ISTM that this is the way to get you on the agent's "do not use unless absolutely necessary" list.

If you have generic skills, do you really think that an agent is going to jump through all these hoops (some of which are outside of his control) when he can find a dozen other, more naive, people.

tim

[The Lone Gunman]

ISTM that this is the way to get you on the agent's "do not use unless absolutely necessary" list.

If you have generic skills, do you really think that an agent is going to jump through all these hoops (some of which are outside of his control) when he can find a dozen other, more naive, people.

tim

A good agent will be able to use the evidence requested to point out to a potential client that the evidence requested also proves beyond doubt that you are not and never will be regarded as an employee and therefore will never be able to go to court for employee rights.

Most contractors are too lazy to do this and most agents dont give a damn as long as they can put a bum on a seat.

You are probably right, I did say that agents wont go for this, but if we all did it and the PCG got behind promoting the idea than we might get somewhere.