Contracting through umbrella companies work permit

[Arun]

Hi Everyone,
I am currently working in UK through Workpermit Tier 2 (ICT)
While searching for permanent job in UK (I'm a software developer) utterly failed (no one is willing to sponsor a visa), I came across a website where they say they will provide work permit for contractors through umbrella companies.
May I know how does this work? Are there any issues or risks in it?
Please advice. Thanks in advance.

Arun

[NotAllThere]

I don't have any advice, but I know that many of us would be very interested in finding out how that works, so do keep us posted.

What's the website?

[stek]

it's illegal, and it's called 'bodyshopping'.

[LisaContractorUmbrella]

Not allowed I'm afraid - work permits have to be sponsored by the company that you will actually be doing the work for; an umbrella company is an intermediary.

[jonbon]

don't know if its allowed or not but I know couple of people already doing it!!

the umbrella sponsors the visa and off you go to your client as a contractor (umbrella's SME ofcourse). Umbrella gets a healthy margin and the contractor gets a good rate! All happy chappy!!

Not allowed I'm afraid - work permits have to be sponsored by the company that you will actually be doing the work for; an umbrella company is an intermediary.

[skipjack]

Its Illegal

This is not the right place to ask this. You should consult a solicitor. I would recommend you to stay within your ICT rules. <removed>

[northernladuk]

I don't have any advice, but I know that many of us would be very interested in finding out how that works, so do keep us posted.

What's the website?

So we can petition for this loophole or whatever it is to be closed you mean?

[northernladuk]

Wouldn't be these guys would it?

Tier 2 Visa Work Permit Sponsorship for Contractors

[fullyautomatix]

Although it falls outside of what constitutes legal, it is a practice that is followed by a lot of companies to supply cheap labour and pocket a lot of cash. This was done even in the days of work permits ( replaced by tier 1, tier 2 etc ) when work permits had the company name on them and by law you had to work for the company which sponsored the permit. Any kind of work visa is massively abused to bring in cheap labour from developing countries but where it crosses the line is that the guy who comes ino the country in this way is now trapped in the paws of the umbrella company who have the power over him. He has no choice but to toil for them or go back.

[skipjack]

Although it falls outside of what constitutes legal, it is a practice that is followed by a lot of companies to supply cheap labour and pocket a lot of cash. This was done even in the days of work permits ( replaced by tier 1, tier 2 etc ) when work permits had the company name on them and by law you had to work for the company which sponsored the permit. Any kind of work visa is massively abused to bring in cheap labour from developing countries but where it crosses the line is that the guy who comes ino the country in this way is now trapped in the paws of the umbrella company who have the power over him. He has no choice but to toil for them or go back.

It just amazes me what lengths people go just to stay and work in the UK. If they are unhappy with their current employer, they should go back unless they are listed as "wanted" in their country...