News: Oxley & Coward discuss temp workers’ rights
Businesses need to prepare to deal with new regulations controlling the rights and benefits temporary workers are entitled too, says Rotherham's Oxley & Coward Solicitors LLP.
After October 1, any workers supplied by a temp agency who have worked for 12 weeks with the same company, will become entitled to the same rights and benefits as workers hired directly by the company.
This means temp staff will be entitled to the same wages or salary, the same overtime payments, the same annual pay increases, the same holidays and rest breaks as permanent workers of a similar grade hired directly by the company. Temps will be entitled to certain benefits, such as use of the canteen or crèche, although they will not be entitled to join the company's pension scheme or be entitled to redundancy payments.
Amy Cusworth, commercial law solicitor at Oxley & Coward, said: "Employers will need to act fast if they have not yet made preparations to comply with the regulations. They must look at their employee benefits and consider which are covered by the regulations and which are excluded.
"If they rely on agency workers to a substantial extent they must look at how they comply and what the cost of compliance will be.
"With planning, there are ways in which companies can take charge of the situation," added Amy. "For example, they could decide to change what is offered to permanent employees, or they could consider whether it is feasible to change their policy and use workers who are genuinely self-employed instead of agency workers, which would take them outside the scope of these Regulations.
With well over a million temporary/agency workers in the UK, many business stand to be affected by the changes and Amy also has a warning for any employer who thinks they can sidestep the rules in October: "What companies cannot do, is move agency workers between different jobs or to change their job description every 12 weeks. These are obvious ruses that are prohibited and will attract a fine."
Oxley & Coward website
Images: oxcow.co.uk
After October 1, any workers supplied by a temp agency who have worked for 12 weeks with the same company, will become entitled to the same rights and benefits as workers hired directly by the company.
This means temp staff will be entitled to the same wages or salary, the same overtime payments, the same annual pay increases, the same holidays and rest breaks as permanent workers of a similar grade hired directly by the company. Temps will be entitled to certain benefits, such as use of the canteen or crèche, although they will not be entitled to join the company's pension scheme or be entitled to redundancy payments.
Amy Cusworth, commercial law solicitor at Oxley & Coward, said: "Employers will need to act fast if they have not yet made preparations to comply with the regulations. They must look at their employee benefits and consider which are covered by the regulations and which are excluded."If they rely on agency workers to a substantial extent they must look at how they comply and what the cost of compliance will be.
"With planning, there are ways in which companies can take charge of the situation," added Amy. "For example, they could decide to change what is offered to permanent employees, or they could consider whether it is feasible to change their policy and use workers who are genuinely self-employed instead of agency workers, which would take them outside the scope of these Regulations.
With well over a million temporary/agency workers in the UK, many business stand to be affected by the changes and Amy also has a warning for any employer who thinks they can sidestep the rules in October: "What companies cannot do, is move agency workers between different jobs or to change their job description every 12 weeks. These are obvious ruses that are prohibited and will attract a fine."
Oxley & Coward website
Images: oxcow.co.uk
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