3 sixty group defends Computer People letter to end-client
I received this from a colleague. He doesn't know I've posted it... I guess he might guess when he reads this....
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Thank you for raising to our attention the letter posted on the UKTECH website. 3 sixty group have been aware of this letter for some time and felt that it was better dealt with in a professional manner rather than a public forum. We have liaised with Computer People accordingly.
The letter as sent to the End-Client by Computer People contains extracts from a full briefing document prepared by 3 sixty group for Computer People. The original briefing went into detail with regard to current application and interpretation of existing case law. In an attempt to simplify the message the letter issued by Computer People did not use the full detail of the briefing and might have therefore been open to misinterpretation. Having reviewed the letter issued to an End-Client by Computer People, 3 sixty group would contend that, although it might be a little unsophisticated in its delivery, the message it carries is not intended to be anti-Contractor nor is the message intrinsically incorrect.
Far from diminishing opportunities for Contractors, the discussions with the End-Clients have been based on 3 areas of enhancement for Contractors:
1. Continuation of contract positions where the End-Client may otherwise have chosen to reduce their Direct Contractor workforce.
2. The cost of continuation of the contract business would be borne by the End-Client and therefore not to the detriment of the Contractor
3. The formation of a genuine "business to business to business" relationship can only help a Contractor with regard to demonstrating a "genuine" status under IR35. (Assuming all contracts are properly formed and represent the true relationships of the engagement)
3 sixty group are constantly reviewing market changes which can have an effect on Contractors and are keen to support any measures which will develop the contracting marketplace. Much of the information in the briefing came about as a by-product of the legal research undertaken during the IR35 Consultation exercise. Having become aware of discussions among End-Clients regarding the possible risks associated with contracting directly with Contractors' Personal Service Companies (PSCs) End-Clients were becoming concerned that they were being left with little option but to cancel their use of Direct Contractors completely or offer them lower paid full-time positions. 3 sixty group prepared detailed briefings as to the reality of the current risks and the likely development of these trends and felt that it was important to offer suitable alternatives.
3 sixty group are happy to talk to any end-client about the reality of the current situation and continue to work at the forefront of industry issues for the benefit of Contractors.
Regards,
Iain Sutherland
3 sixty group
Publish and be damned The worm that turned 5/02 360 group Andy White 5/02