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Agency Workers Regulations

The Agency Workers Regulations came into force in the UK on 1st October 2011. The Department for Business Innovation & Skills (BIS) Guidance on the Regulations can be found here, however in summary the main points of note are as follows:

Day 1 - The AWR is designed to give agency workers the same access to collective facilities as permanent staff (e.g. canteen, parking, crèche, etc) and access to job vacancy information.

After 12 weeks - the right to equal treatment for pay, conditions, breaks and annual leave after 12 calendar weeks in a given job. Pregnant agency workers will be allowed paid time off for ante-natal visits. 

Qualifying

To accrue 12 weeks:

  • Any week during which an agency worker works in a given job for a given hirer counts as 1 week, even if they only work for part of that week.
  • They can have a break of up to 6 weeks but if they return in the same role the clock will resume.
  • Other allowable breaks:

            - Sickness or injury (up to 28 weeks)

            - Pregnancy 

           - Statutory/contractual maternity/paternity or adoption leave.

           - Jury service

           - Periods of industrial action.

           - Temporary business shutdown (e.g. Xmas)

  • Weeks will be accrued even if the agency worker worked in the same role for a different Agency.
  • The Regulations are not retrospective, that is to say the 12 week qualifying period will start from 1st October 2011.

What does ‘Equal Treatment’ mean?

Equal treatment means that the agency worker has a right to the same pay and conditions, with a few exceptions, as a permanent member of staff who performs the same role.  The agency worker’s qualifications, experience or expertise can be taken into account – they must simply be treated ‘As If’ recruiting them directly to do that job.

Pay – includes fees, bonus, commission, holiday pay or any other emoluments referable to the employment. It does not include payments that are ‘not directly attributable to the amount or quality of work done’. For example bonuses paid for attendance or based on company performance would not be included.

Holiday Pay – if a client provides holiday entitlement above the statutory limit this must be paid. This additional holiday may be paid in lieu.

Vouchers and Stamps – benefits that are paid by issuing a physical voucher or stamp with a monetary value are included. However benefits provided as part of a salary sacrifice scheme, e.g. childcare etc, would not be included.

Exclusions – there are a number of exclusions as follows:

  • Occupational sick pay (i.e. above statutory)
  • Pension contributions
  • Occupational maternity, paternity or adoption leave
  • Redundancy pay
  • Financial participation schemes (e.g. share option, profit share schemes etc)
  • Expenses
  • Advances and loans
  • Health and life insurance
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