Limited Company Option
When taking on a contract role via an agency does the contractor have the right to select his or her own limited company? Does an agency have the right to select a limited company without making you aware? What if in the middle of the contract you want to change limited companies?
-
-
>When taking on a contract role via an agency does the contractor have the right to select his or her own limited company?
Yes.
>Does an agency have the right to select a limited company without making you aware?
No (although you'd have to be pretty stupid to be unaware of it. Just reading the contract should bring this to your attention.)
>What if in the middle of the contract you want to change limited companies?
Not usually a problem, provided the agency is happy to re-issue the contract.
You don't sound as if you know much about this contracting lark, and it looks like the agency has taken advantage somewhat. Which agency are you with?His heart is in the right place - shame we can't say the same about his brain... -
changing limited company
>Does an agency have the right to select a limited company without making you aware?
No (although you'd have to be pretty stupid to be unaware of it. Just reading the contract should bring this to your attention.)
Ok so I have been stupid but maybe not all my fault as this "limited company" seems to just be an extension of the agency and I am getting conflicting stories about who I actually work for ie the limited company or the agency? I only signed a contract with this limited company and not the agency(as I thought the limited company was the agency).
But I think you are defo right that the agency has taken advantage of the situation only thing it is not just myself but about 15 other contractors most of who are being passive about the situation because it is a good job. So again I ask if they are not allowed to appoint a limited company is there anyway of changing it legally if need be?Comment
-
If you signed a contract with this Ltd Co then that's who you work for.Originally posted by molie
Terminate according to the terms of the contract.So again I ask if they are not allowed to appoint a limited company is there anyway of changing it legally if need be?
You speak of "changing the Ltd Co" as if your real relationship is with the agency, and the "Ltd Co" is incidental. But if your only contract is with the Ltd Co then it's not so much a case of changing as of terminating.Comment
-
If I read this and the other post you have made then it is simple.Originally posted by molie
You have an employment contract with the Limited Company.
It is the Limited company who must pay for
- SSP
- Paid Holiday
- Redundancy
It is with the Limited Company that you have a contract. It is the limited company which pays your salary.
The agency does not enter into it. You have no legal relationship with the agency.
The Limited company may indeed have contracted with agency for the supply of Molie but that is no different than every other contractor company in the country. There is nothing untoward or illegal or underhand about it.
Why would you want to change the limited company? You are in a perm role and the limited company would have to take on the obligations of employer and if they don't then there is always the Employment Tribunal.
There is nothing wrong with the employer making a profit on your labours. You may think they are making an obscene amount of money about it but that is not illegal.
No is it illegal for an agency to have a consultancy arm. Many agents adopted this business model when the contractor market was in the doldrums.Comment
Comment