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Changes to Contractual Terms

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    Changes to Contractual Terms

    Hi all,

    I started an inside IR35 contract in April 2023 with a signed contract and ACL via an agency.

    Since then, only half of the team have been hit with a rate decrease who are with this agency stating I will have a 10% reduction in rate and they do not require a signature from me.

    I have contested it and stated I do not accept this in writing, however the agency have gone ahead.

    Is this legal to make changes to rates mid contract and without any consent/signature from the worker?

    Please let me know your thoughts?

    Thanks in advance.

    M

    #2
    They terminate the old contract and present you a new one at the new rate. All perfectly legal. Granted it sounds it a little slap dash in your case but the fundamental process would be the same. Also technically the contract is between the agency and umbrella so don't think you need to sign, the umbrella should do it on your behalf as it's their contract. I'll bet this isn't being done via the brolly though so back to the slapdash approach point. Verbal/email agreements are also binding as well don't forget.

    Outcome is still the same so no amount of arguing about the sematics is going to make any difference.

    That said inside gigs have been challenged in the past but if you kick up a stink two things could happen. One is they take the time to do it properly or they walk you.

    You've two options. Take it or walk.
    Last edited by northernladuk; 19 July 2023, 13:54.
    'CUK forum personality of 2011 - Winner - Yes really!!!!

    Comment


      #3
      I thought as much and I appreciate the reply!

      They can say goodbye to the contractual terms that say I have to give a month's notice as the agreement is just words at this point.

      Thanks again!

      Comment


        #4
        Originally posted by llewdiskram View Post

        They can say goodbye to the contractual terms that say I have to give a month's notice as the agreement is just words at this point.
        In general, parties to a contract should not unilaterally vary terms; that works both ways.

        Does the contract have clauses that allow the employer to vary the terms (that might be the case since they say your signature is not required)?

        I suppose you could accept the rate reduction conditional on them accepting a reduction in notice period. Might still cause an argument later though.

        As NLAD notes, in practice, accept or move on.

        There may be other options for employees who want to spend time and effort ...
        https://www.citizensadvice.org.uk/wo...0an%20adviser.





        Comment


          #5
          Originally posted by llewdiskram View Post
          I thought as much and I appreciate the reply!

          They can say goodbye to the contractual terms that say I have to give a month's notice as the agreement is just words at this point.

          Thanks again!
          Unfortuantely not. That is a clause in the contract you signed so are binding. Technically you will be breach if you don't honour the notice.

          Nothing is equal in a client/supplier relationship and their terms often protect them more than you. You will have a clause in saying no pay without work. The client can pull the work and you don't get paid for that contract anymore even if it's a long notice which is effectively instant dismissal. They can do that to the old contract then start you on the new one immediately.

          They aren't throwing the contract out the window, they are honouring the terms as you would still have to for notice.
          'CUK forum personality of 2011 - Winner - Yes really!!!!

          Comment


            #6
            Originally posted by llewdiskram View Post
            I thought as much and I appreciate the reply!

            They can say goodbye to the contractual terms that say I have to give a month's notice as the agreement is just words at this point.

            Thanks again!
            If they expect you to honour one months notice then they must of given you a months notice the rate is going to change.

            If they gave less notice, then you only need give the equivalent notice as well, they cant make you work on the lower rate if you don't agree to.

            Comment


              #7
              Originally posted by Fraidycat View Post

              If they expect you to honour one months notice then they must of given you a months notice the rate is going to change.

              If they gave less notice, then you only need give the equivalent notice as well, they cant make you work on the lower rate if you don't agree to.
              They don't need to give him one month. They withdraw the work and he doesn't get paid which is more than likely in his contract. Something along the lines of get paid upon receipt of a signed timesheet. Super crappy way of doing it but there you go.

              Suppler/client relationships are rarely equal.
              'CUK forum personality of 2011 - Winner - Yes really!!!!

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