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Top 5 Agency Questions about the Agency Workers Regulations

Is the Swedish Derogation model a viable alternative to AWR?

The SDM is NOT an alternative to the AWR it merely provides an ‘opt-out from section 5 of the regulations in as much as they relate to pay.


Will contractors be classed as Agency workers if they run their own business ie a limited company?

Unless the contractors working practices will be outside IR35 they will fall under the scope of the legislation. It doesn't matter what is stated in the contract - if they are found to be inside IR35 they would fall under the scope by default and any attempt to manipulate a contract to say that contractors are outside when they are inside will be viewed as avoidance.


What are ‘day one’ rights?

Day one rights are the responsibility of the Hirer and they relate to onsite facilities such as parking spaces, crèches, prayer rooms etc and access to information about job vacancies at the hirer’s premises. The legislation is intended to ensure equality for agency workers it is not intended to give them rights which are not afforded to permanent employees.


How can we keep track of the qualifying period if the worker is engaged with multiple agencies?

The rights come into force after the contractor has been at the client site or a site that is part of the same legal entity, in the same or similar position for a period of 12 weeks; the contractor should be asked to disclose their work positions and locations when registering with an Agency.


Can I move my temps to a PSC?

You can move temps to PSC but, unless their working practices fall outside of IR35, they will still fall within the scope of the legislation.