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It was sent some time ago, but we are hearing reports of this tactic being increasingly used. We will be looking at this development closely and would be interested in receiving any more evidence of this practice (With the name of the Agent if possible!).
ARE YOU AT RISK?, DO YOU RETAIN DIRECT CONTRACT IT STAFF?
Proposed changes to Government legislation have turned focus firmly on to freelance IT consultants.
Whilst it has always been true that companies employing direct contractors (i.e. those invoicing their customers directly) are exposed to potential tax/N.I. liabilities, the impact of IR35, and of future EC-driven legislation could be even more concerning.
Direct contractors could begin to accrue similar rights to PAYE employees - sick/holiday pay, maternity/paternity leave, pensions and the ability to claim for unfair/constructive dismissal or discrimination.
All of this means that companies retaining direct contract IT staff are almost certainly exposing themselves to even more substantial financial risk in the future.
******** is a leading provider of human resource solutions in
the global IT market. Our intermediation service protects our customers from the risks outlined above.
The benefits are simple but significant:
>>Compliance with all legal, tax and insurance requirements.
>>Substantial reduction in administrative burden.
>>Potential cost saving from rationalisation of supplies, rate control and consolidated invoice procedures.
If your organisation employs direct IT contractors, or if you would like to find out more about how best can help you realise true cost savings through managed resourcing, call or e-mail *********
Yours ...
************* Contracts Manager.
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Andy White
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