Working direct for agency

[downsouth]

First of all, hi to all

been viewing for a good long time on these forums, contracting for 4 yrs now.

first question (apols if a recent post covers this)

A couple of agencies have approached with regards to work, the question is they are all saying that you will be working for the agency directly rather than simply being an agency in the traditional terms of simply taking their cut etc

Whats your thoughts on this particular setup????

[original PM]

think you may have crossed wires

normally when you work through an agency you will be an employee of the agency this is because the body who pay your wages and deduct your tax and NI is your employer.

Obviously if you use a 3rd party to pay you - either your own ltd or an umbrella then you become an employee (or director) of that company.

hth

[downsouth]

I am a LTD, thats why I asked about the agency employee relationship

They also mentioned that for day2day work mgmnt I would use a contact within the agencies employment division whilst being assigned a client contact for work instructions

Perhaps I'm getting the wrong end of the stick or perhaps the Agency guy dont understand the LTD company bit

[cojak]

Try and get more info from them.

Since you've been contracting a while you know the Ltd/umbrella option.

Are they trying to pretend that they're a consultancy when in fact they're a body shop or is there a genuine misunderstanding on the part of the noob agent and it is the above?

[BolshieBastard]

First of all, hi to all

been viewing for a good long time on these forums, contracting for 4 yrs now.

first question (apols if a recent post covers this)

A couple of agencies have approached with regards to work, the question is they are all saying that you will be working for the agency directly rather than simply being an agency in the traditional terms of simply taking their cut etc

Whats your thoughts on this particular setup????

Its essentially a semi permie role where the client isnt convinced about using contractors or doesnt want to pay the 'going rate' and wants the job done on the cheap. Barclays made spring do this back in 2001.

Frankly, I wouldnt touch it with a barge pole.

[ratewhore]

Tell 'em to p*ss off. That's what I'd do...

[downsouth]

well its a litle hard to tell em to throw their hook

on the bench for a few months now.

[KentPhilip]

It all depends on the rate. If it is £50/hour before tax then go for it and give your company a rest for a while.

[Not So Wise]

Basically they are trying change the "relationship" from

Contractor > LTD> Agency > Client
To
Temp > Agency > Client

Pro's/Cons for Client: They get you cheap and can get rid of you fast

Pro's/Cons for Agency: No Pro's except the extra business but now they have to deal with more complicated payroll and potentially liability for extra costs like sick pay, holiday pay and maybe even things like maternity leave (not been keeping up with temp rights in last few years so not sure on exact status of each of those)

Pro's/Cons for Contractor: Pro's, you get many permie benefits like holiday/sick pay (via agency). Cons: You will probably get paid less, can be fired at any time. You will lose all self respect as you are now a "bloody temp"

If you are hurting for money and/or been to long out of the active workforce, well doubt you have much choice but to accept it. But if you are not in that situation, no way in hell should you

[downsouth]

apols for time to reply, moderators got me all queued up!!!!

yep, agree on chg of relationship, agency called me and discussed the decrease in rate (apar rates are based on US markets rates!!! SHOCKING) and how they work. Personally think agency numpty aint got a clue, but thats another story

Role is via TEKsystems, so in this instance i'm not going forward with it unless its via my LTD