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Are UK recruitment agencies doing what's right for the worker, or just their own pockets?

Are UK recruitment agencies doing what's right for the worker, or just their own pockets?

Over the past 6 weeks, ePayMe have been spending a huge amount of time talking with contractors who hold second and third positions with various recruitment agencies and as a result have other payroll providers processing their pay. This proves to be an extremely costly process for the contractor.

For example:

The contractor pays emergency tax (BR taxation code) for second & consecutive jobs.

They are charged by each and every payroll provider to process their pay via each agency.

They could be wrongly advised to out of pocket business expense claims.

ePayMe selected at random 1000 of their working contractors, and found that a staggering 143 were either:

Being advised incorrectly by their agency or consultant as to why they should be paid through another payroll company.

The agency had an ulterior motive (incentives) to put contractors through the other provider.

The agency and payroll supplier were within the same group of companies (scratching each others backs, but not providing professional advice to the detriment of their workers)

Or the agency had a PSL and they would refuse to accommodate another provider to support the worker in their quest to ensure financial penalties were not applied.

A contractor has the right to be paid through a payroll service of ’their’ choice. NO agency should force the contractor to be paid through 1 specific provider. ePayMe appreciates that some agencies would insist, however it falls against the human rights to dictate whom the contractor should use.

Many agencies provide due diligence in securing and undergoing rigorous tests to compile a Preferred Supplier List (PSL) for their contractors. This helps to provide a contractor new to this working environment the chance to speak with a handful of companies and for him/her to choose without obligation.

If however a contractor chooses to remain with their primary employer (Umbrella) then a PSL would not be entirely flexible.

Managing Director of ePayMe, Andy Johnston said: “I have spoken with many prospective agencies following this exercise, and the response has been very concerning. In many cases the agency has quite clearly shown no loyalty or integrity to their workers. Some, of which we would quite honestly choose never to work with, made it very clear that they would only work with us if we paid them for the business in the form of cash incentives. Organizations such as the REC, APSCo, ARC and TEAM amongst others are constantly striving to purify and provide ethical best practice, and we support and solute their efforts 100%”

ePayMe is also investing in the development of their mobile applications and interactive web site after listening to their clients and embracing technology to enhance their online services. More information on the App and new web site will follow soon&hellip

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