This week’s guest blog comes from Simon Martin. Simon is one of our most experienced Client Relationship Managers and he’s based in London. Here he tells us how a correctly structured service provider can help recruiters avoid some of the recent, well publicised problems associated with ID checks for candidates.
There were two breaking news stories last week which really caught my eye and got me thinking about the relationship some staffing businesses have with their service providers. For both stories I think taking more of a partnership approach throughout the supply chain could have saved a lot of money, time and reputational damage.
Let me explain. The first story that caught my eye was the report that recruiters have been hit with £12 million in fines in the past year for failing to carry out adequate checks in order to verify a candidate’s eligibility to work in the UK.
This all stems from a new system that the UK Borders Agency put in place in 2008 which allowed for companies to be fined for candidates the Agency deems to be working illegally. The amount a company can be fined is determined by how stringent they were in their eligibility checks, but it could be anything up to £10,000 per worker.
The second story that stood out for me came from a warning issued by REC about a potential scam that some agencies have fallen foul of. The scam centres on an individual contacting a staffing business pretending to be a client with a requirement for a worker or with a worker ready to start with their employment and remuneration requiring processing. As a result, some agencies have been caught out by taking care of the admin for the worker and ensuring they are being paid. The scam is uncovered once the staffing business chases payment from the client, only to find that the client doesn’t actually exist and neither does the worker.
The thing that really stood out for me in both these stories was the fact that both of these risks could have been mitigated by the recruiters involved through better collaboration with their service providers.
Here at Parasol, as a true employment services provider, we carry out our own ID checks on anyone who works via our umbrella. And the process is not only robust but it’s really easy to use for both the staffing business and the worker. In some instances, our staffing industry partners don’t need to do their own ID checks at all and have effectively outsourced not only the process to us but also the risk that comes with it. As our employee, the worker’s eligibility to work in the UK becomes our responsibility.
This is exactly how it should be in the supply chain for temporary workers and is exactly the type of role the modern day service provider should play. Staffing businesses can take advantage of the well-established systems and processes we have in place, for all forms of compliance (including eligibility to work), which give us the ability to mitigate the risks associated with employing a temporary worker. We aren’t a preferred business partner with so many thousands of staffing businesses without reason!
Get in touch with me or one of my colleagues in the team and we can chat about how partnering with Parasol can help your business. You can join our LinkedIn Group, tweet us, get in touch with us here, or leave a comment below and we’ll get back to you.