Permanent PLUS Just Got Umbrella

[Dranzer]

Hi,

What is/are the implications of being a permanent employee to one company and then finding a day rate contract role from another company (whereby you will be on/under their umbrella company...?)

I look forward to any help on this.

[northernladuk]

The implications are that doing either clients work on the other clients time is likely to get you sacked and sued. Is that what you mean?

Speak to your HR and advise you'll be doing the extra work and what you should do about your tax code. I'm sure if you give them some figures they can work out your new tax code for both gigs?

[cojak]

And HR will certainly explain to you whether or not your contract of employment allows you to have 2 jobs at once.

[Dranzer]

Thanks for responses,

ive heard many a people have done similar. If you can manage your workload; what is the issue?

[Paralytic]

Thanks for responses,

ive heard many a people have done similar. If you can manage your workload; what is the issue?

Other than many employment contracts banning (or needing to be aware of) second employments/engagements, particularly in the same area of business, how are going to manage employer and client expectations if/when they both want you in a meeting at the same time?

If you can do this, its great, but most employers will not be expecting you to be working elsewhere during "core" hours without prior agreement.

[perplexed]

Thanks for responses,

ive heard many a people have done similar. If you can manage your workload; what is the issue?

The issue quite simply is what your contract of perm employment says about external work.

Employer wants you at a meeting at 10am, workdays on 9-5pm.

Contract client wants you at meeting at 10:15am...

Good luck explaining to either you're not available.

I'd have thought the issues were obvious tbh.

[Dranzer]

I dont think I was referring to obvious issues; i think i was more so looking for pay/payment deductions etc. I wasnt looking for guidance or someone holding my hand on the workload front; thats all manageable.

And nobody has factored in that... We are working from home

[DaveB]

With one contract and one perm you aren't going to be able to give a definitive annual salary figure for tax purposes to the payroll dept. of the permanent job as you don't know how long the contract will last. Best bet is to keep them separate and resolve the tax issues via self assessment. Your accountant should be able to sort the numbers out for you.

[northernladuk]

Thanks for responses,

ive heard many a people have done similar. If you can manage your workload; what is the issue?

I can't believe that is true at all. We've seen the odd person ask the question on here and nothing came of them and I the only time I've ever heard of a permie doing work on the side is when they get in to a lot of trouble over it.

As perm your time duing 9 to 5 belongs to the employer. If you have time to down tools and work on the sideline then you have time to do more work for your employer. If you do two hours on plan B then perm is paying you for no work. You can see how that will go down.

It's highly likely the contract will also require 8 hours and and will also be 9 to 5. It is a DAY rate contract as you said. They are paying you top dollar for your time and expect you to be more efficient than a perm so if you are doing perm work on their time they are going to be supremely pissed.

Managing your workload with an extra 8 hours in a day means both parties getting less than they are paying for and you 'getting away with it'. That's not professional.

There is no way you can do two to the satisfaction of both parties in a day. Don't let the greed of having two incomes make you blind to the requirements of both. That will only end in disaster. You aren't stupid, don't kid yourself you can do 16 hours in an 8 hours day just because all you can think of is the money.

People that have two roles generally have one that doesn't require the full 8 hours and is based on deliverables. They promise to do X by Y date. That allows them to work in their own time in evenings and weekends. A day rate contract is not one of those, it's them paying you for a day.

[Dranzer]

Excellent responses: many thanks!