THE TEMPORARY LABOUR PROVIDERS CODE PRACTICE

ADS Recruitment Ltd is one of the first registered labour provider in Hampshire to be assessed on the 15/04/05 and passed the audit.

WHAT IS THE CODE OF PRACTICE?

The Code is a voluntary measure, supported by the industry, that aims to improve the business practices of labour providers and labour users before compulsory licensing takes effect. It sets out clearly the standards that labour providers must meet in order to comply with the law and accepted good practice. The standards set a benchmark for independently assessing the employment practices of labour providers.

Most of its provisions simply require compliance with the law. Some of the key requirements are:

 All workers must have a valid permanent national insurance number or be in the process of applying for a number

 

ª Where workers are employed for more than a month there must be written particulars of employment and terms and conditions stating the required notice of   termination of employment
 

ª Where deductions from pay are made for accommodation, travel or any other item, other than tax or national insurance, the written consent of the workers must be obtained
 

ª The national minimum wage or where appropriate agricultural minimum wage must be paid
 

ª All workers must be legally entitled to work in the United Kingdom
 

ª Workers must be provided with an itemised pay statement, listing all deductions, including income tax and National Insurance contributions, for each pay period.

ª There must be no physical abuse or discipline, threat of physical abuse, sexual or other harassment or verbal abuse or other forms of intimidation

ª There should be a written contract agreement with each customer, including terms and conditions such as payments, health and safety responsibilities, disciplinary procedures and the use of subcontractors
 

ª There must be risk assessments conducted by the Labour Provider for all premises to which workers are provided

ª Work may be subcontracted only to a labour provider that has committed to comply with the Code
 

ª Income tax and national insurance contributions must be deducted and paid to the Inland Revenue in respect of all workers once earnings reach the earnings threshold during a week or any part of a week
 

ª VAT registration must be maintained if taxable turnover exceeds a threshold of £58,000 per annum in and VAT payments must be made on taxable turnover
 

ª Workers must not be required to surrender identity papers such as passports.

To find out more about the code of practice visit: www.lpcode.co.uk

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