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Employment Law and Agency Workers

By NetWords
Mar 13, 2011 - 9:32:25 PM

In the current economic climate many organisations are turning to agency workers to complete various pieces of work in the interim depending on the current financial success of the company.

Organisations tend to prefer to recruit agency workers for interim tasks to avoid potential redundancies, or unfair dismissal rights for temporary employees.

Nevertheless, new employment regulations surrounding agency workers are due to come into effect and employers should consider the consequences of these.

The Agency Workers Regulations 2010 are due to come into force on 1st October 2011.  These regulations give agency workers a new right to equal treatment in the terms and conditions of their engagement to comparable permanent employees.

Once an agency worker has undertaken 12 weeks continuous work in the role they will be entitled to these benefits.  Although agencies are responsible for ensuring this, organisations must be able to show compliance if necessary.

The employer will need to identify a comparator who is working under the same terms and conditions as the agency worker and is engaged in the same or broadly similar work (however employed by the organisation). 

Employers need to notify the agency of these comparators and of any pay increases along with providing the agency worker with the same benefits as a permanent employee to ensure they are not liable for a penalty of £5,000 following 12 weeks continuous work.

Although using agency workers for short term assignments is a convenient way to get the job done at a relatively low cost, organisations must consider these new amendments to employment law to ensure they aren't liable for additional costs due to unfair treatment and over 12 months continuous service from an agency worker in the same role.