Temporary Work Agencies (TWA) Regulations
The New Agency Worker Regulations that came into force in October 2010 are designed to ensure that temporary workers supplied by Temporary Work Agencies (TWAs) enjoy the same conditions of employment as permanent employees.
Independent Freelancers who are in business in their own right, operating their own limited companies are exempt from these regulations.
These freelancers must not be under the direct supervision and control of their clients, raise invoices for work done, be seen to enter into financial risk and possess their own business insurances ie operate outside of the IR35 Regulations.
Also, “Regulations” or “Agency Regulations” are often referred to in the contracts that our clients enter into. These phrases refer to the Conduct of Employment Agencies and Employment Businesses Regulations 2003 as amended from time to time. It is best to opt out of these when you enter into a contract with an Agency as an Independent Freelancer because firstly you are not in their employment and secondly it underlines that no restrictions apply to you. Similarly you should opt out of Regulation 5 of the Working Time Regulations 1998 – in Regulation 4, there is a 48 hour threshold for each worker for each week.
Graeme Bennett ACMA MBA