Contract FOR services contract

savings37

I have applied for a job and it wasn't clear that the employment was not going to be directly with the company I applied to. 

I have been sent documentation stating that I'll be working under a Contract FOR services agreement. Is this effectively an agency?

Any good or more importantly any bad points I need to look for before accepting employment?

On-the-coast

I think you’ll need to supply some more details. It could be that they expect you to work for them via an agency - though it would be odd that you hadn’t applied through that agency.  

Or it could be that they are treating you as self-employed and that you won’t be an employee - consultants etc often operate like this. You’re providing a defined service and responsible for your own tax NI etc. 

savings37

The document states: 
Deductions from pay: PAYE tax, Employee NI contributions and employee pension 5% (unless opt out) 

Name of employment business: this isn't the company I'll be working for named here but this other company 

Marcon

On-the-coast said:

I think you’ll need to supply some more details. It could be that they expect you to work for them via an agency - though it would be odd that you hadn’t applied through that agency.  

Or it could be that they are treating you as self-employed and that you won’t be an employee - consultants etc often operate like this. You’re providing a defined service and responsible for your own tax NI etc. 

If if it's a contract for services then OP won't be an employee. They'll either be self employed or working via an intermediary.

Grumpy_chap

savings37 said:

The document states: 
Deductions from pay: PAYE tax, Employee NI contributions and employee pension 5% (unless opt out) 

Name of employment business: this isn't the company I'll be working for named here but this other company 

Is this an Inside-IR35 contract via an Umbrella Company?

savings37

Grumpy_chap said:

savings37 said:

The document states: 
Deductions from pay: PAYE tax, Employee NI contributions and employee pension 5% (unless opt out) 

Name of employment business: this isn't the company I'll be working for named here but this other company 

Is this an Inside-IR35 contract via an Umbrella Company?

It looks like it is, the company I would actually be working for are huge in the UK. This company named on the contract who'll pay me are sourcing and providing the workers then.

Any issues with working like this? Ive always avoided agency work in the past.

MyRealNameToo

Grumpy_chap said:

savings37 said:

The document states: 
Deductions from pay: PAYE tax, Employee NI contributions and employee pension 5% (unless opt out) 

Name of employment business: this isn't the company I'll be working for named here but this other company 

Is this an Inside-IR35 contract via an Umbrella Company?

Other than they're not paying employers NI, Pensions etc which you normally would be with an umbrella. Normally there is also a discussion on if you want paid holidays or not 

savings37 said:

Grumpy_chap said:

savings37 said:

The document states: 
Deductions from pay: PAYE tax, Employee NI contributions and employee pension 5% (unless opt out) 

Name of employment business: this isn't the company I'll be working for named here but this other company 

Is this an Inside-IR35 contract via an Umbrella Company?

It looks like it is, the company I would actually be working for are huge in the UK. This company named on the contract who'll pay me are sourcing and providing the workers then.

Any issues with working like this? Ive always avoided agency work in the past.

Make sure you understand the position on deductibles, if its an umbrella then normally the employer elements also come out of "your money" as well as the employee 

Agency staff have more rights than they used to, after 12 weeks working for the same ultimate client in the same role you have the right to the same pay, breaks and holidays as their regular staff. 

As someone who's been a contractor/"agency" for the last 14 years I dont have an issue with it. People are always concerned about job security but perms can be fired in the first 2 years just as easily. In my life though I am paid a premium for not being an employee... arguably its a big premium compared to the salary of a perm but less so when you consider the other elements they get that I dont or that their employer pays but in my scenario I have to pay. 

savings37

The exact job has been advertised today on the company website direct which states, enhanced holidays and company pension contributions plus other small benefits.

None of the above is available through this 'umbrella' company 

Job market is a nightmare, feel like I have to watch my back 🙄