Dodgy PAYE agency?

[MrC]

I've been offered a contract through an agency at an agreed PAYE day rate.
Agent has now subsequently said that the employers contribution to my pension (ie the 3% of the statutory 8% under auto enrolement) comes out of my day rate.
Is that reasonable / immoral/ shady / outright illegal?

Same agent has told me that i can claim expenses for things such as broadband at £30 /month etc etc without receipts. They said the wholly and exclusively test didn't apply.
While they didn't use the term "dispensation" this smacks of the sort of dodgy advice that rogue umbrellas were peddling back in the day. Are they giving me enough rope to hang myself by or are there special rules for PAYE workers?

[eek]

I've been offered a contract through an agency at an agreed PAYE day rate.
Agent has now subsequently said that the employers contribution to my pension (ie the 3% of the statutory 8% under auto enrolement) comes out of my day rate.
Is that reasonable / immoral/ shady / outright illegal?

Same agent has told me that i can claim expenses for things such as broadband at £30 /month etc etc without receipts. They said the wholly and exclusively test didn't apply.
While they didn't use the term "dispensation" this smacks of the sort of dodgy advice that rogue umbrellas were peddling back in the day. Are they giving me enough rope to hang myself by or are there special rules for PAYE workers?

Yep - that would definitely be an illegal deduction.

Not sure if the best plan is to tell the agency outright it's illegal or to play along and then go to Acas / an employment tribunal about illegal deductions as you leave or in a few months time.

As for deductions for broadband - that's dual purpose so it doesn't work but yep it screams - don't have a clue what they are doing...

[MrC]

Thanks Eek

Yes I have only verbally agreed so far so they might produce paperwork at a lower rate to game the pension I suppose but def seem to be clowns. Shocking thing is the client is a big reputable household name

[Paralytic]

You said "agreed day rate" then that it was only verbal. Unless you got the PAYE day rate in writing (eg, did the job spec they provided have PAYE and the rate without pension deductions), or can otherwise verify your claim, it sounds like they have plausible deniability and you either accept it or walk away. Even if it was on the job spec, they can just say it was a mistake, and its the contract that contains the offer. Typical agency switch and bait and/or incompetence.