Beyond IR35, a reader warns of a government tightening its grip

I agree that raising the level of debate is vital. Whilst I realise and share, the anger felt at IR35, and have personal disputes with agents, (the PCG can confirm this, no details please, I am trusting them, trust is a risk we HAVE to take between ourselves) I believe that the real danger is being missed.

This is not just an attack by a rather silly Government who do not realise the effect on industry. This Government has obtained control over the sources of information.

Please read for yourselves the history of communism, or the Third Reich with regard to the steps required to control information flow, and organised labour.

This is a tactical tool in pursuit of a political philosophy. This particular Government has what is now identifiable as a political objective. I say specifically this Government, I do not credit them with the ideals, morals, or principles of the Labour party we have become used to.

This particular group are intent on destroying self employment, INCLUDING AGENCIES. They have attained control of the heights, witness their members' attitude to the people of the country;

Lord Irvine,

Peter Mandelson,

Keith Vaz etc. etc,

They ARE above retaliation from the populace.

We know they lie, why do we endlessly discuss it, the question is why do they lie?

Let us look at the petrol dispute, the first thing the Government did was send in the union representatives. When it was discovered that most of the drivers were independents, you can read the Government's response and actions in any newspaper.

I would like to share some information I have obtained in recent weeks.

First, an extract from a questionnaire received from an agent.

THE REC (Recruitment & Employment Confederation) - IT DIVISION

PROPOSED AMENDMENTS TO THE EMPLOYMENT AGENCIES ACT REGULATIONS

AGENCY NAME, as a member of the REC IT Division, are writing to you to inform you of the government's proposed regulations changes that we believe place particular restrictions on contractors in that the term "temporary worker" now includes Limited Company Contractors, a business relationship that is prevalent within the IT & Telecommunications sector of the recruitment industry.

The REC has taken issue with the Minister Alan Johnson over this point and has pointed out that limited company contractors should be treated differently from individual temporary workers because they have chosen to operate through a more dynamic business model; a model where they are free and competent to negotiate their own terms and conditions on a business-to-business relationship and not be treated as an employee of the agency or the restrictive practices that this could impose on them.

The REC has sought counsel's opinion on the possibility of challenging these Regulations on the basis that their effect will be disproportionate to the alleged problem it is intended to resolve, namely the restriction of limited company contractors' freedom and ease to find work. Counsel has advised that there may be grounds to mount a challenge but that evidence will need to be collated to support this argument from our Contractors.

The REC has therefore prepared a brief questionnaire for completion and have requested their members to issue it to contractors that have previously been placed by them. Response to the questionnaire is both voluntary and anonymous.

The evidence we are seeking is to counter Government's concerns that:

1) Contractors are persuaded to work as temporary workers by an Agency and would rather be employed on a permanent basis.

2) Limited company contractors are unequal partners in their relationships with employment businesses in the same way as individual temporary workers may be and; Other than availability of vacancies, Limited company contractors are restricted in their choice of Client, Agency or contract work.

I have filled this in. Historically, if the USA and Russia can unite against a common danger, we should. I do not trust agencies, but I do trust their interest in self preservation, and I trust this administration a lot less. I know a lot of agents are motivated by greed, but that is another battle, which will not even take place if this one is lost.

Reading 1/ and 2/, above, would you believe that the PCG is taking this caring and compassionate Government to court?

Legislation POST IR35 Individual Temporary workers Rights.

Can we form a union.

The Human rights act defends your right to do this.

HOWEVER. (from a telephone call to the TUC)

A union formed from ex Limited Companies, on the basis that it represented temporary workers would not be accepted as an affiliate. Each individual would have to join the Union which represented his skill. The unions may act collectively on certain issues, but this is not certain.

Employment Protection.

You have to be employed for two years before the full protection of these rights come into force, e.g. wrongful dismissal, grounds of dismissal on grounds of race or sex are exempt.

ACAs, there are no grounds for using ACAs if the contract of work is for a short term (3 - 6 months), although the European Union is looking into this (no date supplied for action or resolution).

Restrictive covenants, ACAs is now specifically excluded from addressing this issue.

Can you imagine the old Labour activists allowing this?

These are my grounds for specifying this administration, and not the Labour Party.

There is a lot more similar to this, I hope it stimulates debate, and opens some eyes.

Regards to all

Castillo