Umbrella company post termination conditions

[Hannah1]

Has anyone ever been on a contract via umbrella company and been offered another role to work for the same customer but via a different agency? Or if you can advise on the implications of post termination terms that would be appreciated?

I started a 6 month contract via umbrella for a large blue chip company 3 weeks ago and have since been offered a longer contract for a better role via a different recruiter, however reading the post termination conditions in my contract it states I can't work for the same customer for a different client for first 12 months. Unfortunately for the other contract I can only use the same umbrella company for PAYE or umbrella, so I can't see a way around it but to decline the offer now.

If anyone has helpful advice on this it would be much appreciated. Thanks

[northernladuk]

So your umbrella isn't the issue. They don't care. They just process payroll but they are in the chain so I can see why you think it looks like they have a say. The chain is Client->agent->Brolly->you.
So the brolly presents you with the contract but it's infact a contract between the agency and brolly. So what you are seeing is the terms imposed by the agency and you are being bound by a pretty standard handcuff which is there for exactly the situation you are in. The agency is protecting it's revenue stream to stop you swapping to different agents at the same client for better money or whateven.

It's the agency that make the money from the client so it's them that will lose money if you jump ship hence the handcuff. It's pretty complicated here so let me try explain as simply as I can.

If you are going to a different agency for the same or similar role at the client then yes, the handcuff is watertight. You can argue 12 months is extreme but that won't negate the handcuff in your case. The agent will lose money by you leaving for another so can demonstrate loss and the handcuff is valid.

Now...the agency can only invoke the handcuff IF they are going to lose money. If they are not representing the new role they still have theirs and won't be losing money by you switching as it's a new role so the handcuff won't apply. They can't stop you working just because they've got to resource for the role you are leaving. So there shouldn't be a problem.

So that's the legals out of the way.

The problem comes down to having dibs on you and if your agency can fill that role. If they can then that should be OK. Just tell the agency you want to go for the new role. They may grumble but there shouldn't be a reason to stop you. They've got to resource for either of the roles.

Now if your agency can not put anyone forward for the role they may just cause a fuss about having dibs on you to the client or try pull the handcuff because they don't want you to leave making more work for them. It's absolutle popycock legally but the fuss can be enough to put the client off and drop you for the role. It could go either way. They can be buggers when it comes down to the wire as they only look out for themselves not you.

It's a difficult situation and there is no easy way around this. The best way (IMO) would be to be to somehow find out if your agency can represent the role and if they can start the process to move. If they can't then just apply to the second agent and explain the situation. Problem here is you are giving agency 1 a chance to find out what's going on and cause a fuss.

Another option is just apply for the role and when you get it just deal with the fall out but if there is a good reason you can't take the role you'll lose it.

The third option is to try be devious with your CV so it's not obvious you are already at the client, apply for the role and take it without telling any of the other parties and hope no one notices. Going to be pretty difficult to pull this one off unless it's a huge client and no one speaks to each other.

There is a recent thread on exactly your situation so I'll see if I can find it.

[northernladuk]

https://forums.contractoruk.com/busi...contracts.html

That has some examples and advise that is exactly the same as you. Forget the umbrella. It's not an umbrella problem, it's an agency vs agency one.

[Hannah1]

"The third option is to try be devious with your CV so it's not obvious you are already at the client, apply for the role and take it without telling any of the other parties and hope no one notices. Going to be pretty difficult to pull this one off unless it's a huge client and no one speaks to each other."

There is a recent thread on exactly your situation so I'll see if I can find it.

Thanks for your advice and for sending the quote.

Have already sort of been devious with my CV as when the second agency contacted me I was still working in my previous permanent role at another company and I didn't want to explain the situation going to current role, tbh probably because wasn't expecting to be offered their role from the interview.

The client is a huge company and both agencies represent different divisions/sites so not too concerned about them finding out but am worried about umbrella stirring up trouble if I accept offer with other agency and they notice the customer name is the same. The customer is keen to get someone started in next 5/6 weeks so not even got much time to give notice to umbrella and rejoin later....bearing in mind the notice period to current agency is only 1 week.

In regard to current temp role, not sure if the agency would be asked for a replacement as the dept has just taken on a permanent member of staff for same role and have advertised another permanent vacancy. Otherwise your idea would be good..

[northernladuk]

I very much doubt the umbrella will care. They get paid to do your payroll, nothing more. They don't care about the handcuffs and contract terms.

[Hannah1]

Yeah that sounds unlikely they'll be bothered.