The Agency Workers Regulations will not be scrapped
Following the media coverage and general industry discussion
last week regarding the implementation of the Agency Workers
Regulations 2010 (AWR), Blake Lapthorn's Recruitment sector group
provides its views.
The Daily Telegraph published a front page news article on
Tuesday 6 September 2011, which stated that the Prime Minister's
Office had secretly obtained legal advice on how the AWR could be
watered down or how implementation could be avoided entirely. With
the AWR due to come into force in less than a month's time on 1
October 2011, this news engendered wide discussion.
The AWR, once in force, will give agency workers similar rights
to comparable direct hires after they have completed 12 weeks work
in the same role with the same hirer, as well as some rights from
day one. Staffing companies and their end user clients have already
spent vast amounts of time and money on planning for the
changes.
There is apparently a concern that the Department for Business
Innovation and Skills (BIS) 'gold-plated' the AWR by making them
more severe than they need to be. However, it seems that any such
areas identified are few and are likely to have resulted from union
requirements during consultation.
The Daily Telegraph article also suggested that the UK could
avoid implementing the EU Temporary Agency Workers Directive
altogether, in other words, not bring into force the UK AWR which
implement this EU Directive. However, the resulting claims and
financial penalties that the Government would face from the
European Commission as a consequence suggest that, particularly in
the current economic climate, this is not a realistic option.
The Recruitment and Employment Confederation reported on
Wednesday 7 September 2011 that it had received confirmation from
BIS that the AWR will come into force as planned. It was confirmed
yesterday by BIS deputy director, Peter Stephens, at an Association
of Professional Staffing Companies House of Commons event that the
AWR will definitely be implemented on 1 October 2011.
Whether The Daily Telegraph story was political spin or a real
effort to address important concerns with the AWR, it is clear that
it is too late for any major changes to be made to the AWR before
they come into force on 1 October.