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New rules considered for recruitment sector

The Government recently announced that rules for the UK’s recruitment sector – including those laid out in the Agency Conduct Regulations 2003 – should be replaced with more accessible legislation.

Jo Swinson, the minister for employment relations, opened a consultation and said that the current rules, which she called overly complicated and out-of-date, need to be replaced with new legislation.

The changes will have four key objectives, including imposing restrictions on recruiters charging for finding contractors work, being clear on who has to pay temporary workers, ensuring details laid out in contracts don’t in any way hinder contract workers and ensuring workers’ rights remain established. The consultation document stated that the intention is to make legislation easier for individuals and businesses to understand.

Affected parties have approximately 12 weeks to comments on the proposal, which seems to echo the Beacroft Report last year calling for only the core regulations to be kept mandatory, while the rest would be made non-statutory.

In keeping with this, the consultation opened by Swinson asked which rules should the Government be imposing and which should be controlled within the £22bn sector.

Whatever changes are put in place, cheap accountants for contractors will make sure tax deadlines are met and accounts are kept in line with legislation.

The consultation also asked whether or not the proposed system would be more efficient than the current government-imposed system.

In response, officials of the business department sought to naysay fears the recruitment sector would not be able to handle its own legislation, asserting that deregulation in full would not be ‘desirable’ or ‘viable’.

A government spokesperson said reforms made must ensure, above all else, that the sector operates efficiently.

Posted by Peter
January 22, 2013
Research & Statistics

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