With workers becoming more and more in demand and a lack of work currently available for skilled temporary/contracted workers, there is more emphasis on the agencies to offer a better service. This is not only with their on-boarding, but also to give the worker the flexibility to be able to earn more. A happy worker will not only return, but also spread the love by recommending to fellow co-workers on their experience.This experience not only works for agencies but also from a payroll … [Read more...]
Spring Statement 2019 and Brexit
Wednesday 13th March saw Chancellor Philip Hammond deliver his Spring Statement to Parliament. The UK economy continues to steadily grow, with unemployment at historic lows and with wages increasing; providing a solid foundation on which to build Britain’s economic future the Chancellor stated.The statement forecast that employment within the UK is due to rise to 32.7 million over the next year and steadily increase over the next 5 years. The current unemployment rate of 4.0% is the lowest … [Read more...]
Brexit News Update
For those following the Brexit news; this week those campaigning for a Second Referendum to keep the UK within the EU received boost as Jeremy Corbyn committed his party to supporting a fresh referendum.This is pertinent to the financial sector as after Brexit, the trade relationship between the UK and the EU will not be the same after the implementation period. Financial services is one of the UK’s biggest exports to the world, representing almost 10% of the UK’s total exports.If a no … [Read more...]
Back to basics… Outsourcing freelancer payroll
Why does it matter?With the rise in the number of firms using temporary staff and freelance contractors, more HR departments are opting to outsource their payroll functions for such workers.There are good reasons to do so, particularly for small and medium sized businesses that wish to avoid the expense of a full-time in-house payroll team. However, there are certain key points that HRDs must bear in mind.Do……‘Due diligence’ on any payroll provider you work with. The Criminal … [Read more...]
Disguised Remuneration = ‘Loan Charge’
We have been going on about this for a while, knowing it would only be a matter of time before HMRC would clamp down on these non-compliant payroll schemes. We all know if something is too good to be true, it usually is.Disguised remuneration schemes are arrangements that pay loans instead of normal salary to avoid Income Tax and National Insurance contributions.From April 2019, HMRC will introduce the loan charge to deal with the use of these avoidance schemes.The terms were … [Read more...]
Preferred Supplier Lists
As we settle into 2019 it is time to reflect and review on how we are doing, to avoid regulatory penalties and improve our business for the coming year.Many recruitment agencies use preferred supplier lists (PSL) for umbrella companies, but how do you ensure this is followed by your workforce? There has been mention of HMRC targeting individual consultants for unpaid tax, due to direct payments made by providers.Referral incentives place consultants at risk and can leave businesses open … [Read more...]
If it sounds too good to be true, it usually is
Public sector nurses and social workers who have been encouraged by recruitment agencies to take their wages through suspected tax avoidance schemes are now in debt of tens of thousands of pounds following HMRC investigations.Employment agencies have been taking business from rivals by allowing workers to be paid through umbrella companies offering between an 80-90% take home pay.These tax schemes, which are usually registered in places like the Isle of Man or Malta, attract workers due … [Read more...]
Unions plan mass recruitment of precarious workers and nationwide action
Unions are looking to copy the successes of Momentum in recruiting young members.The TUC unanimously passed a motion today to build union membership amongst gig economy workers and union leaders are promising to ‘get a million precarious workers on the streets’ next year. Is this the beginning of a new trade unionism?Recognising the successes of the McDonald’s strike and industrial action by other precarious workers around the country, trade union leaders appear to be gearing up for a … [Read more...]