Government publishes response to the consultation on the draft Agency Workers Regulations 2010
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22.1.2010 The Government’s response to the consultation on the draft Agency Workers Regulations 2010 (the Regulations) has been published and the Regulations were laid before Parliament on 21 January 2010. There are a number of interesting changes that have been announced, including anti-avoidance provisions. Fundamentally, the scope of the Regulations has not changed. However, the response highlights the following important amendments: • Bonuses that are directly connected to the work of the agency worker, within the notion of pay, are now covered by the equal treatment provisions of the Regulations. Also included are stamps and vouchers with a financial value, for example luncheon vouchers. Sick pay and occupational pensions are still considered to fall outside the concept of pay. • Additional anti-avoidance provisions are incorporated into the final Regulations, granting agency workers the right to bring a claim where assignments are constructed in a way so as to avoid the scope of the Regulations. A sanction of up to £5000 may be applied for a breach of the Regulations in this manner. • The proposal to amend the Conduct of Employment Businesses and Employment Agencies Regulations 2003 through the imposition of a “reasonableness” test on transfer fees levied on hirers by employment businesses, for example “temp to perm” fees, has been discarded. We will be reviewing the Regulations shortly and will keep the TEAM membership fully updated.
This bulletin is for general guidance purposes only and should not be used for any other purpose. Please contact a member of the Employment Team at the Manchester office of Brabners Chaffe Street LLP if you require any specific advice in connection with the material contained in this update, or on any other employment law issues.
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