Are agencies....

[Another Dodgy Agent]

All sorted. Let's just say that the agent has bent over.

Good work!

[Another Dodgy Agent]

Out of interest what's your understanding of the act? And do you prefer people to opt in or out?

My understanding of the act was that it was originally put in place to allow "temps" (and by temps I mean secretarial, production line, clerical/admin workers for example) to be able to receive maternity/paternity leave, annual leave, sick leave etc. as previously temps did not have these rights (I know, as I used to be one many years ago) and were only paid for the hours they worked and had to take unpaid holiday etc.

So, to opt in provides the indivdual with the same rights as an employee in terms of paid hols, sick and so on, however and this is where I think perception gets twisted - as the average contractor is employed by his/her Ltd Co, they should already be receiving those benefits through the indivdiual's Ltd Co.

By opting out of the EAA the indivdidual is effectively stating that they are a bonafide Ltd Co contractor rather than a disguised employee. Very IR35 friendly as you can imagine which is where we all often here "you need to opt out if you are a contractor".

To be honest a contractor can do either, however I cannot see many agencies being keen to take a contractor on an "opt in" basis as potentially you could claim your holiday, sick leave etc. through the agency. Likewise if you were to go direct to a client they equally would not be keen on an opt in contractor for the very same risk of exposure.

Now I know you may not want to claim holiday entitlement from your agent/direct client but if an investigation was carried out, the agency/client may have no choice but to pay said opt in contractor regardless of a claim or not. So really opt in and opt out is an area where it is generally felt someone could be exposed to liability for paid holiday, sick leave and so on.

Probably rambled a bit there...

[zara_backdog]

All sorted. Let's just say that the agent has bent over.

OOh - just the way I like them.

[Beefy198]

Will the agent bend over

All sorted. Let's just say that the agent has bent over.

[Beefy198]

Please do keep us posted, I am on the edge of my seat with suspense!

Will the agent bend over, will the OP refuse the contract, oohh!

Out of interest what's your understanding of the act? And do you prefer people to opt in or out?

[Beefy198]

Spoke to some numpty in their 'legal department' who has assured me that any contractors using a limited company have to opt out as that is what the regs state.

I have told her to have another look at the regs and get back to me before 3pm.

Fun fun fun!

[Another Dodgy Agent]

Nope, that's THE contract. I had a frank discussion with the agent yesterday on the phone, he's now checking with legal because "as far as he's aware all limited company contractors have to opt out".

What's a ******* idiot. They have until the end of the business day today to accept the change or I'm looking elsewhere. If I haven't heard anything by 12pm I'll call the client and explain the issue.

Don't worry all, this will be sorted out by the end of today!

Please do keep us posted, I am on the edge of my seat with suspense!

Will the agent bend over, will the OP refuse the contract, oohh!

[Beefy198]

(And of course, not forgetting that opting out at the contract stage after I've met with the client is a no-no anyway!)

[Beefy198]

Nope, that's THE contract. I had a frank discussion with the agent yesterday on the phone, he's now checking with legal because "as far as he's aware all limited company contractors have to opt out".

What's a ******* idiot. They have until the end of the business day today to accept the change or I'm looking elsewhere. If I haven't heard anything by 12pm I'll call the client and explain the issue.

Don't worry all, this will be sorted out by the end of today!

[thunderlizard]

I think you have got a special "opted out" contract, and that they can send you a corresponding "not opted out" version if you ask for it. I hope so. A bit naughty of then to opt you out by default, either way.