"Not Opting-Out of Regulations means we'll have to put you under PAYE"

[cloudcontractor]

Here's a new one. Got an offer for a new contract, and as always they try to send me the opt-out version by default. So I reply and ask for the opt-in contract, as I always opt in.

5 minutes later I get a call from the agency. If I opt in, he says, they'll have to pay me via PAYE rather than via my limited company, based on advice from their lawyers. Then he asks me a load of questions as to why I'd want to opt in, and then also says it might make me fall within IR35.

I spend a while telling him how all of that is bollocks, including how an opt-out wouldn't be binding anyway since I've already been introduced, and ask him to go away to have another check because I wouldn't be accepting any job that tried to compel or present false arguments for an opt-out.

Seriously, he played on being sufficiently confused about the whole thing, and this kind of thing should be his daily bread and butter.

[northernladuk]

Here's a new one. Got an offer for a new contract, and as always they try to send me the opt-out version by default. So I reply and ask for the opt-in contract, as I always opt in.

5 minutes later I get a call from the agency. If I opt in, he says, they'll have to pay me via PAYE rather than via my limited company, based on advice from their lawyers. Then he asks me a load of questions as to why I'd want to opt in, and then also says it might make me fall within IR35.

I spend a while telling him how all of that is bollocks, including how an opt-out wouldn't be binding anyway since I've already been introduced, and ask him to go away to have another check because I wouldn't be accepting any job that tried to compel or present false arguments for an opt-out.

Seriously, he played on being sufficiently confused about the whole thing, and this kind of thing should be his daily bread and butter.

It could be a new one but it's certainly not out of the realms of possibility. Agents know even less about the opt in/out thing than we do but they do have the option to decide if they don't want to deal with Opt in contractors. It's just a business choice. Opt in is more work, responsibility and risk for them so you can see why they don't want anything to do with it.

IMO this sounds more like a sledgehammer approach just to put you off rather than anything based on any solid legal detail. They don't want to deal with an opt in contractor and that's it. They aren't willing to get new contractors or learn what to do so it's PAYE. I don't think it's anything to do with being Opted in being an issue with IR35. They want opt out or PAYE. They know two things. A)No one in their right mind will take take PAYE over Opt out and B) no one will dump a good gig on the table over A) so really all they've done is steer you to Opt Out.

I wouldn't read anything else in it but that. Opt out (which I can guarantee they've done badly so you are probably opted in by default but forget all that) and get on with the gig. No biggie here really.

[cloudcontractor]

No issue if they want to take a business decision as you suggest. Either opt-out or PAYE, that's their call. I do however resent the implication that it's a legal requirement of not opting-out, as well as a mumbling mess of fearmongering around IR35.

I'm lucky enough to have a couple of offers on the table right now, and their client is really hurting for people, so I wonder if there will be any movement on their side. Normally agencies I deal with just send me the opt-in version of the contract with no fuss, although I'm yet to meet any agency I considered to be halfway competent.

[Old Greg]

You could quote them your PAYE rate.

[northernladuk]

No issue if they want to take a business decision as you suggest. Either opt-out or PAYE, that's their call. I do however resent the implication that it's a legal requirement of not opting-out, as well as a mumbling mess of fearmongering around IR35.

I'm lucky enough to have a couple of offers on the table right now, and their client is really hurting for people, so I wonder if there will be any movement on their side. Normally agencies I deal with just send me the opt-in version of the contract with no fuss, although I'm yet to meet any agency I considered to be halfway competent.

But it's absolute bollocks because they just don't want to deal with Opt in. Can't resent anything that's just plain stupid surely? Or do you resent the fact they assume you are stupid enough to fall for it which I could understand better, but you aren't so who cares?

Tons of posts on here about agencies offering Opt out and not opt in. It's just the way it is. It's just such a non thing I don't know why it's a factor in your decision TBH but each to their own.

[SeekingIT]

Indeed

You could quote them your PAYE rate.