Agency workers: your employees or the agency's?

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Ensure that you are aware of relevant legislation

By Brian McLelland (pictured), solicitor and Managing Director at Business Lawyers Ltd.

In James v Greenwich Council the EAT held that it was entitled to find that an agency worker supplied to the Council for some five years was not an employee of the Council, though he had been treated in all other respects as one.

The EAT gave useful guidelines on when you could infer an implied contract of employment between a casual worker and an end user (client business).

It also rejected a suggestion in Dacas v Brook Street Bureau (UK) Limited that the passage of time could lead to an inference of a contract of employment between an agency worker and an end user.

The James case therefore has given welcome relief and comfort to clients of long-term agency workers who feared they might be construed as the employer. In most situations it will be the agency and not the client who will be the employer of the staff concerned.

However, the EAT did comment that agency workers were highly vulnerable to abuse at the hands of end users and consequently legislative protection could be necessary. A Private Members’ Bill is expected 2 March 2007 though opposition will be firm.

By Brian McLelland, MA Hons(StA),CELTA, Solicitor, LLM(Company Commercial), ACIS, Associate Lecturer(Contract and Tort), Director.

Brian can be emailed at brian.mclelland@business-lawyers.org.

For the latest fact sheets, articles, information and advice from Business Lawyers visit www.business-lawyers.org.


“We provide legal advice to help businesses grow profitably.”

Business Lawyers Ltd, 4 Bridle Gate, High Wycombe, HP11 2JH (registered office). Registered in England.
Tel: 0845 130 6608

 

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