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Opt out letter from an agency

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    Opt out letter from an agency

    A person I work with received this from their agents today. In particular Im interested in this quote:

    "if the Contractor doesn’t Opt Out, you’ll have to meet him/her, ID check etc which will delay the CV getting to the Client. Could cause the Contractor to miss out on the best jobs. "

    This is probably the only way agencies could get people to opt out aye...force them to opt out OR they wont be going forward for vacancies.

    Anyways...thoughts on this? I still dont think there are any advantages to opting out apart from the fact that agents wont put anyone who doesnt opt out forward for vacancies (thank you PCG)
    *****************************

    The Conduct of Employment Agencies and Employment Businesses Regulations 2003


    BUSINESS PROCESS FOR CONTRACTORS WHO DO NOT OPT OUT

    1.&nbsp &nbsp &nbsp &nbsp Advertisements must include the following information & must be put onto xx.com / MS.com:

    ·&nbsp &nbsp &nbsp &nbsp Must include full company name
    ·&nbsp &nbsp &nbsp &nbsp State whether contract or permanent vacancy
    ·&nbsp &nbsp &nbsp &nbsp Position
    ·&nbsp &nbsp &nbsp &nbsp Rate of pay
    ·&nbsp &nbsp &nbsp &nbsp Nature of client’s business
    ·&nbsp &nbsp &nbsp &nbsp Nature of work
    ·&nbsp &nbsp &nbsp &nbsp Location
    ·&nbsp &nbsp &nbsp &nbsp Minimum experience
    ·&nbsp &nbsp &nbsp &nbsp Training required
    ·&nbsp &nbsp &nbsp &nbsp Qualifications required

    2.&nbsp &nbsp &nbsp &nbsp You must ask the Client the following questions and record their response on Adapt:

    “Are there any risks to Health & Safety which the Contractor should be aware of?” - the response will be drawn up on the contract covering letter.

    “Is the Contractor being sought to replace someone on official industrial action?” - if yes to this question, you cannot place contractor.

    3.&nbsp &nbsp &nbsp &nbsp You must meet the Contractor BEFORE providing any recruitment services (i.e. before even sending the contractor’s CV) and

    check and get copies of the Contractor’s ID (I.e. passport), work visa (if required) and qualifications (if required to work in the job); and

    give the Contractor a copy of the Non-Opt Out T&C’s to the Contractor.

    4.&nbsp &nbsp &nbsp &nbsp You must send the Client a copy of the Non-Opt Out Client T&C’s; because of new Temp to Perm / Temp to Temp fees.

    NEW RULES FOR T2P and T2T FEES IF THE CONTRACTOR DOES NOT OPT OUT

    Rule 1: T2T/T2P fees can be charged provided Rules 2 & 3 are not broken.

    Rule 2: If you wish to be able to charge a fee, you must offer the Client an extended hire period as an alternative to payment of the fee.

    Rule 3: you may not attempt to charge a fee for the T2T / T2P where the Client has waited for the “quarantine period” to elapse before it takes the Contractor T2T/T2P

    The Quarantine Period is:

    ·&nbsp &nbsp &nbsp &nbsp 8 weeks from the last date on which the Contractor worked for the Client; or
    ·&nbsp &nbsp &nbsp &nbsp (if longer) 14 weeks from the commencement of the original engagement

    INCENTIVISING THE CONTRACTOR TO OPT OUT

    May help protect IR35 status; Contractor groups such as the PCG and Shout99 are heavily backing the Opt Out.

    Snob value; this legislation was written in response to complaints about agencies from cleaners in Bristol. Its not intended for our end of the market.

    We’re a reputable organisation providing a quality service; the legislation was written to curb the cowboy agencies, we already provide a high standard of service.

    Speed; if the Contractor doesn’t Opt Out, you’ll have to meet him/her, ID check etc which will delay the CV getting to the Client. Could cause the Contractor to miss out on the best jobs.

    Rates; you could offer a higher rate to the Contractor to Opt Out, but be careful you don’t treat it as a penalty.


    BUSINESS PROCESS FOR SECURING AN OPT OUT

    ·&nbsp &nbsp &nbsp &nbsp Discussion about the Opt Out should be conducted with EVERY Contractor whose CV you will be putting forward to a role.

    ·&nbsp &nbsp &nbsp &nbsp Secure verbal or email agreement (better) (Keep emails).

    ·&nbsp &nbsp &nbsp &nbsp Mark on Adapt that agreement has been given to Opt Out.

    ·&nbsp &nbsp &nbsp &nbsp When a placement is made, tell your Contracts Administrator that Opt Out was agreed.

    ·&nbsp &nbsp &nbsp &nbsp An Opt Out Form will be sent with the contracts for signing. Should the Contractor wish to see a copy of the Opt Out Form, a PDF version will be available on the intranet for emailing.


    IMMEDIATE ACTIONS

    ·&nbsp &nbsp &nbsp &nbsp We have until 5th July to get every Contractor on our base to Opt Out.

    ·&nbsp &nbsp &nbsp &nbsp From today, every NEW contractor should be signing an Opt Out

    ·&nbsp &nbsp &nbsp &nbsp From today, every EXTENDING contractor should be signing an Opt Out

    ·&nbsp &nbsp &nbsp &nbsp For existing Contractors who are not going to extend before 5th July, we need to get them to Opt Out.

    ·&nbsp &nbsp &nbsp &nbsp Identify which Contractors you need to talk to on your base.

    ·&nbsp &nbsp &nbsp &nbsp Talk to these Contractors, secure an Opt Out.

    ·&nbsp &nbsp &nbsp &nbsp Tell your Contracts Administrator

    ·&nbsp &nbsp &nbsp &nbsp We will then issue the Contractor with a “new” contract, with a Start Date of 6th July and an Opt Out Form.

    ·&nbsp &nbsp &nbsp &nbsp DEADLINE FOR SECURING ALL OPT OUTS IS 25TH JUNE

    #2
    You just answered your own question

    Anyways...thoughts on this? I still dont think there are any advantages to opting out apart from the fact that agents wont put anyone who doesnt opt out forward for vacancies

    Do you really need another reason to opt out?
    Not getting any work seems like a damn good one to me.
    The agencies might be legally banned from preventing your work but they are not legally obliged to find you work either.
    Subtle difference but either way no opt out, no worky. Tough but true.

    This isn't the PCG's fault though. Had contractors been included in the regs, rates would have plummeted you can bet on that. You get nothing for nothing.

    The only mistake in the regs was to include contractors in the first place. This has forced you to opt out and caused the problems.

    In my opinion, the people you want to slate are those pathetic weak perma-temps who wrote to their MPs complaining about how bad agents were to them. That is the reason why contracytors are included in the regs by default. Seemed like a good wheeze at the time I'm sure. Are those same contractors laughing now?
    The consequence has been to either opt out or get no work or work for much less pay. Hmmm. No good news there then.

    Comment


      #3
      really...

      do you truely think rates would have gone down if contractors were included originally in the regs?

      If so...how?

      Sounds like a bit of missinformation from our friends in the agencies eh :rollin

      Mailman

      Comment


        #4
        Re: really...

        do you truely think rates would have gone down if contractors were included originally in the regs?

        Perhaps you could stop laughing and start thinking.
        The agency regs increase the paperwork on the agents side by probably 20-30%.
        There will be new personnel required just to deal with this.

        If you seriously think this cost will either not be passed on or absorbed by other parties then you are frankly living in cloud cuckoo land.
        Contractors are at the bottom of the food chain as the recent rate cuts debacle showed. They will ALWAYS pay the price of increased costs because they are in the worst position to negotiate.

        This is all speculation anyway because without opting out you simply won't get work.

        Comment


          #5
          .

          Just how exactly would paper work be increased...considering you have to already send in proof of ID etc when applying with a new agency already?

          Again...just sounds like more agency missinformation really.

          Mailman

          Comment


            #6
            Re: .

            Actually with the very best respect it sounds like you haven't got a clue about the impact on agencies of these regs and that lack of knowledge is leading you to some very bizarre conclusions.
            Let me put it this way:-
            Why would an agency want you to opt out?
            Why would they even bother you with it?
            Why don't they just leave you inside?

            The reasons are varied but all of them either involve increased paperwork or increased risk on the agents part (e.g. risking losing the contractor as a direct contact with the client after only 8 weeks is a massive risk). Either way you can be sure that the agency will want to increase their margin to compensate or that increased risk.
            The easiest way for an agency to increase its margin is to squeeze the contractor on rates.

            It amazes me that you don't think this can happen and yet it did during the rate cuts last year where the vast majority of those asked to take a rate cut did so without even raising a finger in opposition. Coming on here afterwards to bitch about it doesn't count as opposition.

            If you want to understand the impact on agents so that you can post with some knowledge on this, simply phone a few and ask them. If their workload has increased by one iota then they'll increase their cut to compensate.You'll probably not even be aware of it.

            It's not good enough to come on here and accuse me of misinformation. That's too easy to do. You need to do more personal research to find out if there is a hidden timebomb waiting on you.
            You are misleading yourself and doing the old contractor trick of sticking your head in the sand and hoping it won't come your way. It is a fact of life that in any chain you cannot mess around with the cost base of one link and not expect that change to rattle around the entire chain stopping at the weakest link. This is pure commonsense.

            Comment


              #7
              .

              Hahaha...awe...come on...so in fact the rates arent going to drop...its just the scum agents seeing an opportunity to increase their take from your rate.

              Pitty the government listented to those other clowns over at the PCG...should have just included everyone with no opt out or in option...then everyone would be on a level playing field.

              As it is...the PCG has handed agents the perfect reason to not only raise their rates on those that wish to opt out BUT also raise their take on those that dont opt out.

              Pitty really...the PCG had the perfect opportunity to make a real difference and when bang came to crunch all they have succeeded in was making the agents positions an even bigger monopoly.

              Mailman

              Comment


                #8
                Re: .

                As far as i can see they have given the client no insentive to ensure he only use's agencys with "opted in" people (chance to get contractor direct is not much of one for many, they don't want the hassle), this on top of the whole opt in and opt out thing has made the whole thing pointless and waste of time.

                All contractors can hope for now is that more of us slowly aim more and more for the agencys that don't try to force you to opt out, thus improving thier books over the their competitors and forceing them all to jump on the band wagon.

                But that will take years now..if it ever happens

                Comment


                  #9
                  The redneck

                  mailman, where do redneck idiots like you come from? You appear to believe that we all owe you a living. Oaksoft has merely pointed out to you that you can pick not to opt out but dont be surprised if you are last on the list of contractors who get called up for jobs.

                  If you think about it (assuming you are equipped to perform such a task) the PCG are merely telling contractors that opting out is more likely to encourage agencies to find them jobs.

                  You may not like us but imagine a client receiving a call from an arrogant bigot like you:

                  Redneck: "Hello my name is redneck mailman"

                  Client. "yes redneck, what can I do for you"

                  Redneck "I am a contractor looking for some work"

                  Client "Oh yes and how do you think you can help my company"

                  Redneck "I have not opted out of the agency regulations and you owe me a living just like everyone else"

                  Client> That is fine but why should I want to hire you

                  Redneck "Because you owe me a F****** living and if you dont hire me and pay me a fortune I will go elsewhere.

                  Redneck: Hello hello hello hello ................................

                  Back to your job as a postman then Redneck at least you were in a monopoly there

                  Comment


                    #10
                    .

                    Of course the way around this is to not opt out on your current contract so that if you wanted to you could dump the scum sucking agents if you wanted to go direct at the end of your contract.

                    If you wanted to contract with someone else then you will have to opt in to get the contract.

                    Initially though...the shoe is on your foot and you are in the position of power (because if they want you to opt out...then they had better be prepared to pay for you to opt out) :rollin

                    Mailman

                    Comment

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