Employers Face Fines If They Don’t Have a Grip on New Worker’s Rights
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September 29, 2011 TheFreshOutlook  |
Employers could face fines of up to £5,000 per employee when new Agency Workers Regulations come into force on Saturday.
Big changes to the Agency Workers Regulations are due to come into force on October 1, which give temporary workers the same rights as permanent employees.
The new regulations state that agency staff who do the same job for more than 12 weeks are entitled to the same rights as regular employees, including rest breaks and limits on the number of hours in a working day, paid annual holidays and discrimination rights under the 2010 Equality Act.
The new regulations also mean that any employer who does not conform to these new changes could face fines of up to £5000 per wronged employee if the case gets taken to an employment tribunal.
Despite the threat of repercussions, a recent study taken on behalf of the Recruitment and Employment Confederation revealed that only one in 10 employers across the country was prepared for the new law.
The chief executive of the Advisory, Conciliation and Arbitration Service (ACAS), John Taylor, warned: “Businesses really need to make sure that they have a handle on these changes. It’s not something to think about down the line and get it wrong, as it can be costly to your business.”
He added: “Some employers may try to get round the regulations by hiring and rehiring temps on the succession of shorter periods. But they need to be careful of the many provisos within the new law. We would always urge employers to take a fair approach on the basis for any workplace relations.”
However, many employees are still looking to use one of several loopholes which are present within the new legislation that include: sacking temporary workers before the 12-week deadline, alternating the agency staff’s roles within the company, cutting the pay for employees, making them ‘self-employed’, or even ultimately stopping use of agency workers within the company.
Temporary workers agencies are also considering making some changes to avoid the restrictions, including changing their temporary workers onto permanent contracts.
In light of this, the acting general secretary of the Union of Construction, Allied Trades and Technicians (UCATT), George Guy, commented: “It is essential that if any loopholes are found in the regulations they are quickly closed. Agency workers deserve fairness.”
For information about the changes to the legislation, please refer to: www.acas.org.uk/agencyworkers
By Laura Beard
[Image courtesy of Images_of_Money]
