Job Agency - pushing their PSL umbrella company

[bob132]

Hi, started a new contract last month.

The job agency are being very pushy around which umbrella company I use.
They have a PSL and have pushed one of these beyond belief.

Background.. I was told I had the job on a Monday PM and all the stops were pulled out by everyone
involved for me to start at the new place of work on the Wednesday AM.

Therefore, to speed things up, I pretty much had no choice but to go with one of the agency's Umbrellas on their PSL so the contracts could be drawn up.

I explained that I needed more time to investigate the Umbrellas and make a decision but that I would use theirs in order to get contracts drawn up and back in to work ASAP.

At this point they agreed that they would fully investigate and be willing to switch to an umbrella of my choosing over the coming weeks.

Further in to my contract I then explained that I would instead be setting up my own LTD company.
I have now done this 4weeks in and am about to request they setup the contract with my LTD company and pay me for the last 4/5weeks to the LTD company.

I have had an email from them stating that all back timesheets (I have not invoiced or submittted or had ANY timesheets authroised yet) must go through their PSL umbrella that I initially signed up with..

Is this allowed?? I have worked on other contracts and switched umbrella companies half way through due to better rates for example.

Help appreciated.
Thanks
Bob

[TheFaQQer]

Is this allowed??

Yes. You have a contract with the umbrella company; the umbrella company has a contract with the agency; the agency has a contract with the client.

I'd also start getting those timesheets approved.

[Magpie252]

So, if I understand you correctly, you’ve entered a contract with the Umbrella, then after 4-5 weeks you want to move on without paying them any of the commission they are legally entitled too for the services they have provided to you?

You have the right to resign & request payment through a ltd, the Umbrella has the legal right to the fees due for the work you have already supplied, regardless of you having billed/invoiced or not.

[Midland White]

Something tells me you are roped into their preferred brolly for the duration.

[bob132]

You have the right to resign & request payment through a ltd, the Umbrella has the legal right to the fees due for the work you have already supplied, regardless of you having billed/invoiced or not.

If I resign how do I ensure I still get the money?! How does that work??

[TheFaQQer]

If I resign how do I ensure I still get the money?! How does that work??

It works in the same way as when you leave any paid employment. You are paid for the work that you did, and your employer pays you.

If the employer doesn't pay you, then you take them to an employment tribunal and will win. This is the same whether you are working for an umbrella company, a multinational, a local burger van - if you aren't paid by your employer, then you'd also contact the police about the theft.

[Magpie252]

If I resign how do I ensure I still get the money?! How does that work??

Invoicing would be a good start, then you have legal recourse if they don’t pay up

[bob132]

So get the timesheets authorised? but it's my understanding that this would mean they are processed behind the scenes for payment through the umbrella?

should I tell the umbrella I've lost the contract first? get things cancelled?
should I invoice and submit timesheets? then resign?

Ok so I have been naive once again to help ensure I am not unemployed and for the client to see I am keen to start the new job and help out...

Can someone advise what I should do if I were to resign please??
Thanks

[jmo21]

The first 4 or 5 weeks were done while you were an employee of the umbrella.

The umbrella holds the contract with the agency, who in turn, hold a contract with the client.

In order for you to get paid for that first 4 or 5 weeks, it MUST go through the umbrella.

Does that make it clearer?

There is nothing wrong with wanting to change to a Ltd, but you won't be able to use that to retrospectively bill for the first 4/5 weeks.

The agent MAY get in the way here as they have to reissue your contract. I'm not sure how umbrella's work in terms of finish a contract early with them, but I shouldn't imagine it would good business for them to cause a fuss.

[Magpie252]

So get the timesheets authorised? but it's my understanding that this would mean they are processed behind the scenes for payment through the umbrella?

Exactly - that's what you signed up for, how did you expect to get paid?

should I tell the umbrella I've lost the contract first? get things cancelled?
should I invoice and submit timesheets? then resign?

Why lie?, tell the Umbrella that their services are no longer required, agree any termination clauses, bill until your agreed end date