Pay parity Query

hysteria1989 · 12 November 2018 at 4:30PM

Hi i was wondering if someone could help me.
as a company we employ around 40+ people to work for us on top of this we also use agency staff occasionally. a couple of weeks ago the agency we used asked us to tell them how much we pay a permanent member of staff doing the same job which we provided which is not an issue.
However any full time members of staff also receive a attendance bonus of £3 a day providing they clock in on-time. is the agency worker now entitled to this as well and if so who should be paying the bonus us as a company or the agency? and if it is on us to pay is it fair that the agency invoice £20 and put there own mark up on it instead of the £15 it actually works out to?

thanks for the help

RichardD1970 · 12 November 2018 at 4:49PM

I believe that after 12 weeks agency staff are entitled to the same pay and conditions as a permanent member of staff.

Having said that it's not illegal to pay people different amounts. I get £30 a week attendance supplement which other colleagues don't because we have different contracts and there are other differences in overtime rates etc.

As to who pays I don't know but think it's a bit cheeky of the agency to bill you extra.

System · 12 November 2018 at 4:54PM

What the agency staff get paid is not your concern, the agency is their employer and it is between the agency worker and the agency to discuss, not between you and the agency worker. The only thing you have to pay the agency is what they bill you for and that IS for you to discuss with the agency.

If the agency are using the Swedish Derogation, which almost all are in order to make them cheaper for a client to use, then they do not have to pay parity pay after 12 weeks.

The Swedish derogation - so called because it was introduced into the regulations at the request of the Swedish government - provides an exemption from this as far as pay is concerned; it does not affect agency workers' entitlements to other provisions under the regulations such as annual leave after 12 weeks, 'day-one' rights and rest breaks.

For it to come into play, the temporary work agency (TWA) offers an agency worker a permanent contract of employment and pays the worker between assignments.

In my case my agency invokes the Swedish Derogation by giving me a permanent contract guaranteeing me 10hrs pay a week if there is no work offered.

Only pay and leave have to be on parity under the 12 week rule, not bonuses, pensions or commission.

engineer_amy · 12 November 2018 at 5:06PM

Tarambor wrote: »

What the agency staff get paid is not your concern, the agency is their employer and it is between the agency worker and the agency to discuss, not between you and the agency worker. The only thing you have to pay the agency is what they bill you for and that IS for you to discuss with the agency.
......

Only pay and leave have to be on parity under the 12 week rule, not bonuses, pensions or commission.

Unfortunately, both the agency and the end client are equally and jointly liable should the worker bring a claim under the AWR.
Certain bonuses are included in pay parity if they are linked to individual performance, or have been long established by custom & practice. Pages 29-32 of the link further explain what is/isn't included https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/32121/11-949-agency-workers-regulations-guidance.pdf

It will be up to your company to negotiate with the agency what mark up etc they will add on to your invoice - there will be employers NI incurred on the additional payment, pension costs etc. I would ask them to give you a full breakdown of how the additional costs are calculated

hysteria1989 · 13 November 2018 at 4:33PM

greath thanks for the help guys

Pay parity Query

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