Two Lichfield employment experts are warning businesses to be aware of changes to the law which will give temporary workers the very similar rights as permanent employees after 12 weeks’ work.
The legislation, which comes into effect from October 1, affects not just the pay temporary employees should receive, but their entire employment package – which could make a substantial difference to the overall cost of using temps.
Lita Kirwan, employment law consultant at Bradin Trubshaw & Kirwan, said: “For employers who hire staff directly, these new regulations will not affect them but those using agency workers should take the opportunity to review their contracts and the terms of business.
“Employers could inadvertently find themselves with responsibility for contractual holiday pay, overtime, shift allowance or extra payments for difficult or dangerous work and performance related bonuses. Failure to comply with the new legislation could leave firms open to employment claims from temporary workers, which could be costly. It’s far easier to get things in shape now.”
The regulations do have some limitations regarding notice pay, redundancy pay, expenses, company car allowances, sick pay schemes, occupational pension schemes, share ownership, health insurance, death in service cover and similar benefits are still at the employers own discretion.
However, the basic working and employment conditions prescribed by the Act are a welcome step forward for agency workers.
Charlotte Bell, director of Lichfield recruitment consultancy Bell Cornwall, added: “The new regulations are a necessary step in achieving a fair working environment across the board, conditions for agency staff have been improving year on year and finally we have reached a sensible level of equality.
“While agency workers still fall short of a few working benefits, the most essential bases are covered by these regulations, giving agency workers the recognition and rights they deserve.”