HELP!! Temp Staffing recruitment Question/ Scam?

[Borat]

Hi,

Could anyone please help and tell me if they are aware of the process where a company sets up a second (legally non related) recruitment company - just to obtain cheap labour?

I am working for a large company via a temp agency. I have noticed that one of the people that works in the company in the head office also runs the temp agency. The companies supposedly are unrelated. I have also noticed that the agency only seems to get temp work to the one company - the one I work for. They pay very very low, with no benefits, overtime or public hoilday pay and short contracts. I really think this is a scam to obtain cheap labour...does anyone know about this sort of thing and if it is legal???

Thanks kindly for any help!

[Indizine]

You should take your contract to an employment lawyer to check it over if you are concerned it does not comply legally for temporary workers/contracts.

What happens in the business perhaps may be OK. I used to work for a chamber of commerce and I ran a Limited company owned by the chamber, and we used temps from the recruitment department run within the chamber, and the chamber billed my company, even though the chamber owned the company.

[Punched]

Hi,

Could anyone please help and tell me if they are aware of the process where a company sets up a second (legally non related) recruitment company - just to obtain cheap labour?

I am working for a large company via a temp agency. I have noticed that one of the people that works in the company in the head office also runs the temp agency. The companies supposedly are unrelated. I have also noticed that the agency only seems to get temp work to the one company - the one I work for. They pay very very low, with no benefits, overtime or public hoilday pay and short contracts. I really think this is a scam to obtain cheap labour...does anyone know about this sort of thing and if it is legal???

Thanks kindly for any help!

Hi Borat,


If you work in the UK the National Minimum Wage rates has been increased From October 2009

• £5.73 to £5.80 an hour for workers aged 22 and over
• £4.77 to £4.83 an hour for workers aged 18 to 21
• £3.53 to £3.57 an hour for workers aged 16 to 17

The government has also promised to extend the adult minimum wage rate to 21-year-olds from October 2010.

The confidential National Minimum Wage helpline number is 0845 6000 678. The number for Northern Ireland is 0845 6500 207. As well as receiving and investigating complaints about non-payment of the minimum wage, the helpline offers advice and information in more than 100 languages.

I really think this is a scam to obtain cheap labour...does anyone know about this sort of thing and if it is legal???

Now if that Company is paying Less than the Minimum wage they are breaking the Law, If not, then thats what you agreed to work for, when you took up that employment.

My advice would be to look elsewhere, if your not happy with that employment angency, but remember they need to make money too, so really its what the paying company is prepaired to pay the angency.

Say for example the employee recieves £6.00 an hour, The angency is probably charging the company £10.00 + per hour + vat

All in all the company pay the angency probably more per hour for that angency employee than what they pay their own staff.

Diffent Angencies have different, rules concerning Holiday pay, overtime etc.. Really its what you've agreed on when you took up employment with them.

Hope that helps