New Workers’ Watchdog

New Workers’ Watchdog

The new ‘Workers’ Watchdog’ will add further protections for temporary workers, including freelancers who now work under PAYE since the IR35 reform too effect. It will govern everything from securing the right of temporary workers to an accurate pay offer to providing protection against modern slavery. 

While the new authority doesn’t specifically target umbrella companies, when an agency worker is considering taking a contract, a Key Information Document (KID) should be supplied by the agency, backed up with a similar document provided by the umbrella company. Currently, if the agency doesn’t supply a KID, the document supplied by an umbrella company has to suffice, but if either document is inaccurate or insufficiently clear, workers will be able to refer their pay offer and pay details when the employment commences, to the watchdog. If there is a discrepancy, fines for a breach of the regulations that give workers the right to an accurate pay offer before they agree to work, reach £20,000 and this new authority will use those powers to bring agencies and umbrella companies in line. 

The existence of the Workers’ Watchdog’ and the new powers it wields, will encourage companies to place even more emphasis on managing compliance in the supply chain, ensuring worker rights are upheld, and this comes closely after a very clear warning about labour supply chain compliance from HMRC last month. 

For more information follow this link;

https://www.gov.uk/government/news/government-to-protect-workers-rights-and-clamp-down-on-workplace-abuse-with-powerful-new-body

CWC Accounting Solutions provides the data to our agency clients that allows for an accurate pay offer to be made, this is derived from the uplifted or ‘umbrella rate’ and clearly reported. Our own Key Information Document not only provides the true pay rate, it breaks that rate down into basic pay and holiday pay, so there is never any confusion or sense that we have not paid workers at the rate they expect to be paid.  

Call us on 01268 745808 for more information and get an example of the way we work, which brings compliance to the fore in any labour supply chain.