Agency Workers Regulations 2010/2011
What is it and when does the law change?
The legislation came into force on 1 October 2011 in Great Britain, giving temporary workers the entitlement to the same basic employment and working conditions as if they had been recruited directly, if and when they complete a qualifying period of 12 weeks in the same job. It is not retrospective and for those temps already on assignment, the 12 week qualifying period started on 1 October 2011.
From the 1 October 2011, temporary workers will also be entitled to access to facilities and information on job vacancies from Day 1 of their assignment.
Who do the new Regulations apply to?
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Individuals who work as “agency workers” and are paid PAYE are clearly in scope. Candidates placed and paid via a Ltd company are also considered an agency worker, however, those operating a Personal Services Company where they are ‘self employed’ or carrying on a “business undertaking” are excluded from the rights.
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Individuals or companies involved in the supply of temporary agency workers, either directly or indirectly, to work temporarily for and under the direction and supervision of a hirer, i.e. Morgan McKinley.
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Employers
What are the new entitlements for temporary agency workers from 1 October 2011?
- Day 1 rights for all temporary Workers: If a client hires a temporary worker via an agency, the client must ensure that they have access to the facilities (such as canteen, childcare facilities, etc) and information on job vacancies from the first day of their assignment.
- After 12 weeks in the same job: These additional new equal treatment entitlements relate to pay and other basic working conditions (annual leave, overtime, etc) and come into effect after a Temporary agency worker completes a 12 week qualifying period in the same job with the same client.
What is included in “pay”?
| What this means | Does not include | |
| Basic Pay | Pay for work done; annual salary usually converted into an hourly/daily rate. | Occupational pension contributions; redundancy/severance, expenses; occupational sick pay occupational maternity, paternity, adoption pay. |
| Overtime pay | Extra pay for additional overtime hours | An automatic entitlement for extra pay as a temp will still need to qualify for overtime as if recruited directly. |
| Bonus or incentive payment linked to personal performance | Pay for work done and directly attributable to the individual | Bonuses based solely on company performance, discretionary one-off bonuses |
| Holiday pay | Above the statutory minimum, can be given as leave or paid in lieu as part of the hourly/daily rate Other contractual and statutory paid leave, (e.g. compassionate leave, paid time off for union duties or jury service) | Other contractual and statutory paid leave, (e.g. compassionate leave, paid time off for union duties or jury service) |
| Vouchers or stamps | Of fixed monetary value so another form of “pay”, such as luncheon vouchers | Other benefits in kind, Financial Participation Schemes, Phantom Share Schemes |
| Paid time off for antenatal appointments | After the 12 week qualifying period, paid at full hourly rate for the time it takes to attend the appointment |
Any other questions?
If you have any queries or questions regarding AWR, please contact your Morgan McKinley consultant or email AWR@morganmckinley.co.uk