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AWR headache leads to employers terminating contracts

With the introduction of new agency worker regulations in October 2011 there were hopes that this would equal out the differences between temporary and permanent workers in organisations up and down the country.

However as January came to an end research by the Association of Professional Staffing Companies (APSCo) found that 29%, nearly a third, were going to terminate contracts rather than meet these regulations. The effects will be felt throughout the economy, as people become unemployed in a risky market for those looking for a new job.

AWR has clearly had an impact on the employment of temporary staff, rather than addressing the need for rights, it has cost people their jobs. These are mainly young graduates who have just started out in the work force and are looking to gain experience whilst the job market has stagnated and over 1 million of them remain out of work.

Although the effects in the industry may not have been felt yet the full guidance for companies can be downloaded here, aiding companies as they negotiate where the responsibility for increased costs and benefits will fall.

Payroll Village are a managed payroll services company that can offer advice and support for those looking at how AWR will affect their payments. We also offer advice for companies looking at temporary contracts and how the benefits that permanent employees are currently offered. Our access to lifestyle benefits through our community network allows for many of these benefits to be incorporated into the service you would receive from us, along with advice and compliance with these developing regulations.

To find out more about how we are a part of the discussion, and to meet with our team for advice and support, fill in our form, or contact us on 0207 537 6631.