Is this above board?

Sjthom

Hi. I am concerned about a job my best friend has been offered, I have told her of my concerns but she is desperate for a job. It is for a Health Care Assistant, working as a 1:1 with a boy who has special needs. The dad advertised the job at £9ph. At the interview, he said that the job actually pays £30ph, but she would then need to repay him an agency fee of £10ph. She would need to set up a limited company to do this. The £10ph covers PL insurance, ppe and training. He employs 4 other people in this way. Does this sound above board and is it a normal arrangement?
Thanks 😊. 

AskAsk

doesn't sound right.  why is he running an agency for his son?

Sjthom

That was also my question. 

mountainofdebt

The only thing that makes sense is that somehow the father can chose which company provides care for his son & the payment allowable is £30ph. 

Thus if your friend becomes that company the dad will get her to issue invoices reflecting the £30 ph. Your friend, wearing her company director hat, will get paid that but then is charged by the dad wearing his agency hat...after all they have effectively found her the position. 

it sounds as if it's definitely some sort of scam - Your friend does realise there's costs involved in running a ltd company doesn't she?  If she wants to do this sort of work surely there's other care settings / legitimate agencies nearby that needs workers?

AskAsk

mountainofdebt said:

The only thing that makes sense is that somehow the father can chose which company provides care for his son & the payment allowable is £30ph. 

Thus if your friend becomes that company the dad will get her to issue invoices reflecting the £30 ph. Your friend, wearing her company director hat, will get paid that but then is charged by the dad wearing his agency hat...after all they have effectively found her the position. 

it sounds as if it's definitely some sort of scam - Your friend does realise there's costs involved in running a ltd company doesn't she?  If she wants to do this sort of work surely there's other care settings / legitimate agencies nearby that needs workers?

this is giving me a headache, lol.  i would find this arrangement too confusing even if it was legit.  i would just go elsewhere and get a proper job, where i don't have to solve a sherlock holmes case to understand what is going on with me pay 

Sjthom

mountainofdebt said:

The only thing that makes sense is that somehow the father can chose which company provides care for his son & the payment allowable is £30ph. 

Thus if your friend becomes that company the dad will get her to issue invoices reflecting the £30 ph. Your friend, wearing her company director hat, will get paid that but then is charged by the dad wearing his agency hat...after all they have effectively found her the position. 

it sounds as if it's definitely some sort of scam - Your friend does realise there's costs involved in running a ltd company doesn't she?  If she wants to do this sort of work surely there's other care settings / legitimate agencies nearby that needs workers?

Thanks for your reply. Yes, it does feel scammy. Why not pay her £20 directly.  It feels like the transaction is legitimising a fraudulent payment. No, I don't think that she realises the implications of having a limited company. I have explained, but I think she is desperate for work given the current climate.

68ComebackSpecial

Is it possible that this is going via an agency and that she will then be paid by an umbrella company? This wouldn't be an unusual situation. 

AskAsk

68ComebackSpecial said:

Is it possible that this is going via an agency and that she will then be paid by an umbrella company? This wouldn't be an unusual situation. 

If you are paid by an umbrella company, you wouldn't need to be a limited company though?  Isn't that the whole point of an umbrella company?  To allow contractors to work through the umbrella company, without having to set up a limited company?

AskAsk

Sjthom said:

mountainofdebt said:

The only thing that makes sense is that somehow the father can chose which company provides care for his son & the payment allowable is £30ph. 

Thus if your friend becomes that company the dad will get her to issue invoices reflecting the £30 ph. Your friend, wearing her company director hat, will get paid that but then is charged by the dad wearing his agency hat...after all they have effectively found her the position. 

it sounds as if it's definitely some sort of scam - Your friend does realise there's costs involved in running a ltd company doesn't she?  If she wants to do this sort of work surely there's other care settings / legitimate agencies nearby that needs workers?

Thanks for your reply. Yes, it does feel scammy. Why not pay her £20 directly.  It feels like the transaction is legitimising a fraudulent payment. No, I don't think that she realises the implications of having a limited company. I have explained, but I think she is desperate for work given the current climate.

This is also confusing me.  The pay was advertised as £9ph, so why has it now changed to £20ph?