Agencies more and more enforcing their own choice of Umbrellas

[lucyclarityumbrella]

The PSL of umbrella is new to me, as I didn't have this issue 5 years on my last inside IR35 assignment.

Unfortunately it is getting worse as the months progress!

[chineseJohn]

Unlikely as that tends to mean they get kick backs from the ones they have.

That's what I was thinking, I found it ridiculous. It's been 5 years since I've had to deal with agencies, last contract was direct outside IR35, hence my "sheltered" life.

Good result but how did you manage to find a client taking on inside IR35 contractors without an agent being contracted to the client. You sure might get your preferred one engaged and the PSL one comes out of nowhere and screws it all up for you? Sounds like a really strange situation.

I hope I've understood what you're asking.
I was contacted out by an ex-manager I worked with previously with. As the role was confirmed as inside IR35, I asked does the organisation have a PSL agency which they don't, the CTO said to ex-manager to tell me find the agency that has the lowest margin. The list of RM6160 agenies is over 80 long, so I asked a friend to give me a name of agency. The PSL of umbrella is new to me, as I didn't have this issue 5 years on my last inside IR35 assignment.

Anyway I've told end-client to put the agency stuff on hold, and I've told the agency this. I also told the agency on Friday afternoon, I am looking for another agency who'll deal with my umbrella, I'm sure there are plenty out there who will.

[northernladuk]

I've landed an Inside IR35 contract I found myself, I have to go via the Umbrella route.
The agency I have found, yes I'm doing this in reverse order, is saying I can only go via PSL route due to "audit issues in the past".
I have an Umbrella option available (FCSA accredited) without additional charge via my accountants obviously I don't want to pay for an umbrella.

Unlikely as that tends to mean they get kick backs from the ones they have.

I've found another agency who allow me to use my own Umbrella, unless the original one backs down.

Good result but how did you manage to find a client taking on inside IR35 contractors without an agent being contracted to the client. You sure might get your preferred one engaged and the PSL one comes out of nowhere and screws it all up for you? Sounds like a really strange situation.

[chineseJohn]

I've landed an Inside IR35 contract I found myself, I have to go via the Umbrella route.
The agency I have found, yes I'm doing this in reverse order, is saying I can only go via PSL route due to "audit issues in the past".
I have an Umbrella option available (FCSA accredited) without additional charge via my accountants obviously I don't want to pay for an umbrella.

I've found another agency who allow me to use my own Umbrella, unless the original one backs down.

[eek]

I was called about a role with one of the big banks last week, they give you a choice of 3 Umbrella's one of which was victim to a Cyber Attack a year ago and still hasn't paid me properly .....

That may be the agency - the agency I'm with gave me the choice of any FCSA one (which was fine as otherwise I would have gone elsewhere)..

[cmscotland]

I was called about a role with one of the big banks last week, they give you a choice of 3 Umbrella's one of which was victim to a Cyber Attack a year ago and still hasn't paid me properly .....

[lucyclarityumbrella]

It'd be interesting to see what due diligence checks have been done on the umbrella's. To give some of the agencies some credit, they have been very thorough with the checks rather than relying on accreditation.

[ChrisTruby]

It must be kickbacks and the umbrellas they do not do the "handshake" are being left behind.

Am checking now on flexibility on umbrella before starting engaging the recruiters. New addition to the checklist.

[eek]

Just to be clear - I would not take a contract if the agency's PSL looked dodgy (without any legit umbrellas).

I wouldn't take a contract if I couldn't use my preferred compliant umbrella. Heck I would bin the agency and contract before CV submission stage - incredibly rare for a contract to be sole agency nowadays.

[cojak]

Just to be clear - I would not take a contract if the agency's PSL looked dodgy (without any legit umbrellas).

[northernladuk]

The due diligence the agencies carry out is finding how much of a kickback they get from the umbrellas. Some of the big brollies must make peanuts from their employees from what I've heard about kickbacks they pay.

I have also managed to use my choice of umbrella once but seen many instances on here where the agency wouldn't move. I think the big agencies who see kickbacks as a revenue stream won't be flexible. Others that don't rely on it as a business model will be flexible. Have to take it on a case by case basis.

[ladymuck]

I haven't had to do it myself but I have anecdotally heard of some agencies being willing to work with other FCSA umbrellas that are not on their PSL.

Sadly, it's not illegal for any firm to be have a PSL but you do have to question what dodgy back office deals are being done when you see some of the companies they choose.

[ChrisTruby]

Found some very old posts on this in the search but a mix on more recent stuff. Feel free to kill this post if too repetitive.

I am looking for new work and the calls I am getting more and more agencies are giving me a limited choice of Umbrellas to use. They seem to be the big names but I find it interesting as they say that there has been a lot of due diligence but have noticed that one of them for example has had all sorts of noise around it of late.

Anyone else finding themselves successful at pushing back on these? I have managed to use my current Umbrella for the last 2 contracts and have one that I will use for future work but there seems to be a lot of rubbish to sift through to protect yourself.

Really wanted thoughts on how others are progressing in the pushback on agencies.