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Agencies Now Signing Contracts Online

Posted 09-08-2010 by justin

Web-based service SignatureSense.com is gaining momentum in the recruitment industry by allowing contracts to be signed online, by all parties, in a matter of minutes.

The conventional approach to signing and returning contracts (a combination of post / fax and email) is often the ‘bottle neck’ in an otherwise efficient placement process.

Larger big-budget agencies have been using “electronic signatures” to sign contracts for years, however SignatureSense’s low monthly subscription fee for agencies makes this modern business practice available to even the smallest of companies.

Alan Whitford, industry veteran and founder of RCEuro.com, the Pan European community site for recruiters, commented on SignatureSense:

“I think that this offering should be a ‘no brainer’ for recruitment businesses, where the time lost in the administrivia of contract administration can lead to lost revenue and poor client service.  The electronic signature ‘wrapper’ is ideal for confirming NDAs, Terms of Business and Contractor Agreements, all in real time. We will certainly be using the service for our future agreements at RCEuro.”

Jon Richardson, Founder of SignatureSense added:

“We are really excited to see that Agencies find such a direct benefit in using our service.  It’s only a matter of time before electronic signatures are common-place, so the ‘early adopters’ are making the most of a great competitive advantage.”

Related Sites:
SignatureSense- ww.signaturesense.com
RCEuro – www.rceuro.com

Working Time Regulations

Posted 07-05-2010 by justin

iBalance are now able to offer real-time reporting of working hours to agencies.  This enables agencies to ensure that the Working Time Directive (WTD) regulations are being complied with and the added ability to plan future projects with reference to hours worked.
“Agencies can view reports showing which contractors are close to exceeding their maximum average hours” states an iBalance spokesperson.  “this makes compliance and planning much easier for agency consultants.  Whilst we always ensured our workers are given their statutory rights, this new system shows agencies and their clients that we are doing this and gives them the ability to use the data to plan furture work.”
The new online system is especially useful for workers on project rates where it has been difficult to monitor rest breaks.  “Its proving particularly popular with agencies who engage manual workers on project rates – the risks of injury and reducing quality of work are much greater for these categories and end-clients want to know its being managed properly.
The new online system lets workers input their rest breaks with the click of a mouse as they submit their timesheet and is very simple for contractors to use.
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Under the WTD regulations, all employers have to ensure that workers have adequate rest-breaks:
maximum hours worked – avg 48 per week in 17 week rolling period
adequate rest breaks, so workers do no more than:
13 hours in any 24 hour period (day) – cap of 13 x 6 = 78 hours
1 days off (rest days) in every 7 day period (week)
statutory minimum holiday periods (28 days not working in addition to ‘rest days’)
Whilst this is the responsibility of the employer (the umbrella company), most clients and agencies reckonise their responsibilty in ensuring they only use compliant umbrella companies that can show they are acting responsibly to protect workers’ welfare.
Another benefit of the new system is greater accuracy when calculating contractors’ National Minimum Wage (NMW) which is a key contractual element of remuneration in most umbrella companies.  Getting this wrong, can attract attention from HM Revenue & Customs (HMRC) both on breach of NMW legislation but also PAYE/NIC compliance as contractor expense claims are invariably affected by minimum wage.

Redego are now able to offer real-time reporting of working hours to agencies.  This enables agencies to ensure that the Working Time Regulations (WTR) are being complied with and the added ability to plan future projects with reference to hours worked.

Agencies can view reports showing which contractors are close to exceeding their maximum average hours.  This makes compliance and planning much easier for agency consultants.  Whilst we always ensured our workers are given their statutory rights, this new system shows agencies and their clients that we are doing this and gives them the ability to use the data to plan future work.

The new online system is especially useful for workers on project rates where it has been difficult to monitor rest breaks.

Its proving particularly popular with agencies who engage manual workers on project rates – the risks of injury and reducing quality of work are much greater for these categories and end-clients want to know its being managed properly.

The new online system lets workers input their rest breaks with the click of a mouse as they submit their timesheet and is very simple for contractors to use.

Under the WTD regulations, all employers have to ensure that workers have adequate rest-breaks:

  • maximum hours worked – avg 48 per week in 17 week rolling period
  • adequate rest breaks, so workers do no more than:
    • 13 hours in any 24 hour period (day) – cap of 13 x 6 = 78 hours
    • 1 days off (rest days) in every 7 day period (week)
    • statutory minimum holiday periods (28 days not working in addition to ‘rest days’)

Whilst this is the responsibility of the employer (the umbrella company), most clients and agencies reckonise their responsibilty in ensuring they only use compliant umbrella companies that can show they are acting responsibly to protect workers’ welfare.

Another benefit of the new system is greater accuracy when calculating contractors’ National Minimum Wage (NMW) which is a key contractual element of remuneration in most umbrella companies.  Getting this wrong, can attract attention from HM Revenue & Customs (HMRC) both on breach of NMW legislation but also PAYE/NIC compliance as contractor expense claims are invariably affected by minimum wage.

Agencies duty to check labour suppliers

Posted 04-05-2010 by justin

Redego takes stock of the latest HMRC attempt at ensuring the umbrella industry is acting within current legislation. HMRC issued a press release in 2009 regarding their concerns about intermediaries offering services to pay temporary workers (such as umbrella companies).  They also published a ‘Due Diligence’ guide for companies who use umbrella comapanies and other ‘labour provider’ intermediaries.
In the guide, HMRC claim that it is companies duty to check the operation of any intermediaries they use to pay their workers or to face losing ‘the right to reclaim vat’.
Examples of such checks include:
is the labour provider registered and operating in the UK?
what is the directors background (ie. are they professionally qualified?
do they have employers liability insurance (have you seen the certificate)
do they guarantee to pay the National Minimum Wage (NMW), especially where expenses repaid to workers would otherwise reduce their salary</i> to below the NMW.
do they conduct statutory ‘Right to Work’ checks?
do they pay ’self-employed’ workers rather than through PAYE?
do workers have employment contracts?
do they pay expenses to workers without sight of receipts (ie. through dispensations)?

HMRC have issued a new press release on 6 August regarding their concerns about intermediaries offering services to pay temporary workers (such as umbrella companies).

Temporary workers: The application of Tax, National insurance and National minimum wage legislation

Posted 25-03-2010 by Redego

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In the last two years HM Revenue and Customs (HMRC) have seen a growth in arrangements which are variously described as ‘Travel and Subsistence Schemes’ or ‘Mobile Worker Schemes’. These schemes are operated by many businesses involved in the supply of temporary workers to end users: Employment Businesses and umbrella companies.

Could Brown’s childcare voucher plans cost him?

Posted 11-11-2009 by Redego

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Nine former ministers today rounded on Gordon Brown’s plans to cut childcare, warning the prime minister that he is threatening marginal Labour seats in the runup to the election by axing popular support for hard-working parents.
The warning came from normally loyal former ministers – including Patricia Hewitt, Estelle Morris, Hilary Armstrong, Beverley Hughes and Caroline Flint – who say the plans to cut childcare vouchers for more than 340,000 parents are “greatly unfair” and “mark the undoing of one of Labour’s landmark achievements”.
Brown announced he was removing tax relief for employer-based childcare vouchers, arguing that too much of the money was going to the middle classes. He has outlined plans to switch the money to provide 10 hours of free childcare for 250,000 two-year-olds by 2015. But removing vouchers, which are thought to save parents up to £2,400 a year on the cost of nurseries, nannies or childminders, would strip “effective and popular childcare support from hard-working parents”, the former ministers said.
In their letter to Downing Street, the former ministers, including former women’s minister Meg Munn, urge the government to review the decision: “Carefully considering the full impact of removing the tax relief on parents, employers and the childcare sector.”
“Surely this is not the time for us to remove a key support from hard-working families at the very point we need them at their most engaged and productive to fuel the recovery from recession. Crucially, in the runup to an election, it will remove support for working parents and for businesses in key marginal constituencies.”
More than 70,000 people have signed a petition on the Downing Street website criticising Brown’s decision and urging him to reconsider. Some of the signatories to the letter have likened the revolt to the way the government was caught on the hop over opposition to the abolition of the 10p tax band.
The authors, notably Hewitt, believe the Treasury has mistakenly seen the childcare voucher as a middle-class perk.
The letter said: “Childcare vouchers are an essential support to over 340,000 parents enabling more than 33,000 employers to help their employees, especially women, balance family and work responsibilities. It added: “Withdrawing them will penalise a significant number of lower-rate taxpayers, reduce the overall amount of funding available for childcare, reduce parental choice and impact negatively on the economy as the UK moves towards recovery.”
The vouchers can be used to offset the cost of childcare from Ofsted-registered providers, saving higher-rate taxpayers £1,195 and basic-rate taxpayers £962 a year. Both parents can use the vouchers, potentially saving couples £2,390 a year.
The government maintains that existing beneficiaries of the tax break will not lose out, and that the current scheme is badly targeted by providing too much relief to higher-rate taxpayers.
Downing Street said it would look at the criticisms carefully in advance of the pre-budget report. The critics said the government’s belief that the relief is regressive was based on out-of-date figures, and that the latest surveys suggested 74% of the users of the scheme are basic-rate taxpayers. Other signatories include the former Scotland Office minister David Cairns, former Europe minister Denis MacShane, and the former international development minister Sally Keeble.

Nine former ministers today rounded on Gordon Brown’s plans to cut childcare, warning the prime minister that he is threatening marginal Labour seats in the runup to the election by axing popular support for hard-working parents.

MP wants a blacklist of IT contractors

Posted 05-11-2009 by Redego

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A blacklist of public sector IT contractors should be drawn up to identify those whose past pledges of value for money were just spin, a Labour MP is urging.

Taxman hits YouTube to root out offshore ‘fiddlers’

Posted 02-11-2009 by Redego

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The taxman is making his first appearance on YouTube today in an attempt to increase pressure on savers who have not declared their offshore accounts.

More than half of people do not have a will

Posted 26-10-2009 by Redego

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More than half of Britons have not made a will, meaning they have no say in who their assets will be passed to when they die, a survey suggests.

10 golden rules to survive a tax investigation

Posted 23-10-2009 by Redego

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Taxpayers have good reason to fear investigation by HM Revenue & Customs. Now Daniel Dover, a partner at accountants BDO Stoy Hayward LLP, and financial writer Tim Hindle have written a book – ‘The Taxman Always Rings Twice’ – explaining the process, showing what is at stake and how to get through it. Here are their 10 golden rules:

Tax inspectors to clamp down on people ‘before they break law’

Posted 23-10-2009 by Redego

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Tax inspectors have been given draconian powers to pursue people who have not broken current laws but may be in breach of future legislation which has yet to be drawn up by Parliament.