An agency I worked for used an umbrella company for accounting and such
And that umbrella company wanted me to pay a weekly £10 fee for their service!!
I refused outright. Refused to sign contract. Contacted ACAS & HMRC
4 weeks later the umbrella company backed down and paid me my full wages with no deductions.
So in short. It is illegal to deduct fees from your wages with out prior consent. Doesn’t matter if its £1, £10 Or £100 . Do not pay them. The agency can pay that cost.
All umbrella ‘service’ companies charge a fee. They are a business after all. The ones that don’t show it as a stand-alone figure have already factored it in to the rates on offer, usually by removing all or same of your holiday pay.
Mick Bracewell:
All umbrella ‘service’ companies charge a fee. They are a business after all. The ones that don’t show it as a stand-alone figure have already factored it in to the rates on offer, usually by removing all or same of your holiday pay.
Mick Bracewell:
All umbrella ‘service’ companies charge a fee. They are a business after all. The ones that don’t show it as a stand-alone figure have already factored it in to the rates on offer, usually by removing all or same of your holiday pay.
The agency pays most the time .
Which is factored into your rate. In many cases now the service company is owned and run by the same people.
The fees aren’t where the scams end though. Also watch out for employer’s NI coming out of the quoted hourly rate and as someone else said, trying to pay you holiday pay out of tax savings (which means the actual holiday pay has been pocketed).
Also, whatever is submitted on your behalf to HMRC, you are still personally responsible, not the payroll company.
