Agencies 'should partner with reputable PAYE umbrella companies'

Posted on 5 February 2010

Post your comment

Published by Paul Shrimpton

Agencies can respond to the complicated set of challenges brought about by the Agency Workers Directive (AWD) by partnering with a PAYE umbrella company, it has been claimed.

Speaking to the Association of Professional Staffing Companies, Parasol managing director Rob Crossland said it is vital for recruiters to know they are dealing with fully compliant service providers.

"Responsible umbrella companies are well versed in adapting their employment model to reflect legislative changes – think of managed services legislation and IR35," he commented.

"By partnering with a trusted umbrella company, agencies can focus on their core business of recruitment in the knowledge that AWD compliance requirements are being expertly addressed."

However, if umbrella firms are not prepared to look after contractors' employment rights, agencies should not deal with them, Mr Crossland stated.

Parasol is one of the UK's longest-established and most reputable PAYE umbrella companies.

Categories: Tax & Legislation