Agency Workers Directive - 250,000 jobs could be lost

Published on Dec 4, 2007 |

Europe's employment ministers are due to meet in Brussels tomorrow (December 5th) to discuss the Agency Workers Directive.

The Directive, which was first drafted five years ago, would force recruitment agencies to provide temporary workers with the same rights as permanent employees.

This dossier has been in negotiations for more than five years but has not been formally discussed since 2004.

Many industry commentators suggest that the Government will be unable to persuade fellow EU members to delay implementation of the Directive, despite suggestions that 250,000 private sector jobs in the UK could be at risk.

Most industry bodies in the UK are firmly against the Directive, as it is seen as a "one size fits all" policy which will not suit business in this country.

CBI deputy director general John Cridland has said: "A quarter of a million UK jobs are on the line if this draft directive goes through. The government has, rightly, been rock solid in opposing this legislation."

Alan Duncan (Shadow Business Secretary) said: "Of course all temps in the UK need to be paid a fair rate and legislation to help this is welcome. However, this would be bad for individuals, bad for companies and bad for the economic health of the country."

Commenting on the negotiations, Helen Reynolds, the REC's acting Chief Executive Officer, said:

"The REC supports good terms and conditions for agency workers but the current provisions in the directive on agency work would only add bureaucracy and uncertainty to the recruitment of temps, thus limiting job opportunities."

Industry Concerns

The Recruitment & Employment Confederation's central concerns with the current draft directive on temporary agency work include:

Added bureaucracy - Recruitment agencies often make placements within hours of being notified of an assignment, the necessity of identifying a comparable pay rate would add more bureaucracy into the process and slow it up.

Added risk - If a worker disputes their salary or treatment they could enforce this in an employment tribunal. This additional risk is likely to result in employers using provisions, such as overtime, to meet peaks in demand, thus reducing job opportunities for new entrants into the labour market.

Where's the gain? - Abuse against all workers should be cracked down upon. However, the introduction of equal treatment would not stop rogue employers, who are already breaking the rules, to suddenly change their practices. Better enforcement is the only way to crack down on these rogue operators.

Contractor Services

Income Protection (PHI) and Contractor Mortgages - Specialist quotes
Free Umbrella Company - Save over £1400 p.a. on fees with Springboard
Contract Experts - ClearSky Accounting on 08000 325 326
Qdos - IR35 experts - Providers of low cost insurances
Parasol - the UK's favourite umbrella company
Free IR35 & Tax Review - Call ICS on 0800 195 3750
K & B Accountancy Group- Fixed fee accounting for contractors only £75pm
Cloud 9 Group - Umbrella Solutions only £19.95 per week
Umbrella4Contractors - Low fees, same day setup
Professional Indemnity Insurance - Contractor PI cover


Back to top
Search Contract Eye

 Our Partners
Parasol PAYE umbrella
Award winning service
Contractor Accountants
Full Service, Fixed Fee!
Free Umbrella Company
Save over £1400 p.a.
ClearSky Accounting
From £95 per month
Fixed Fee Accounting
Contractor Specialists
Umbrella4Contractors
Low fees, same day setup
Free IR35 / Tax Review
Call ICS - 0800 195 3750
Umbrella Co. Solutions
Only £19.95 per week
PRINCE2, MSP & M_o_R
Maven Training

 Contractor Insurance
Hiscox Office Insurance
Instant Online Quote
IR35 Insurance
Essential Protection
Income Protection
If you're unable to work



 Contractor Services
Compare Insurance Deals
PI & Business Liability
Contractor Ltd Company
Instant online formation
IT Contractor Pensions
The last great tax break
Private Medical Insurance
Tailored contractor cover
IT Contractor Mortgages
Based on hourly rates!
Protect Your Income
Get a PHI quote
IT Contractor Life Cover
Protect your dependants
Critical Illness Cover
Comprehensive cover



 IT Contractor Guides
Contractor Umbrella
Umbrella Co. Guides
Limited Companies
IT Contractor Guide
Contractor Accountants
Accountancy Directory
Corporation Tax
IT Contractor Guide
IT Contractor Mortgages
How to get the best rates
Contractor Insurance
Are you covered?
PAYE Umbrella Company
How umbrellas' operate
Limited or Umbrella?
Which company structure?
Security Clearance
How do you get it?
IR35 Insurance
Tax investigation cover
IR35 Contract
Contract review guide
Professional Indemnity
IT contractor cover
Umbrella Companies
Links to key providers
Parasol Umbrella Company
'My Parasol' portal

Stay up to date with our RSS feed | Terms of Use | About Us | Directory | Site Map | MSC Legislation | Income Shifting

Copyright © 2006-9, Contract Eye Limited, All Rights Reserved.

UK Contractor Guides, Contractor Accountants, Umbrella Companies, IR35, Insurance, Contractor Mortgages
Design by Blue Egg Web Agency