Single umbrella company supplier agreements

[Beefy198]

How can this be in the best interests of contractors?

Online Recruitment - Cathcart chose Parasol as sole supplier

And when they say for all contractors, what if you already have an umbrella company? (Or even your own limited company...)

[bez]

Surely if you already have one they shouldn't do a thing? If you're already working through that brolly then they can't in anyway be held liable for what you do with your tax.

[hugo@gabem]

I wouldn't be surprised if this happens more frequently in the future, they are essentially the same as the master vendor contracts that agencies occasionally have with clients.

It would be a very interesting contract to read (or pass to someone who could give you the highlights).

[TheFear]

I cringe when I see opening paragraphs like

"Parasol, the UK’s favourite umbrella company,......"

How are the they UK's favourite umbrella company? Voted by whom? Looks to me like the people at OnRec have simply copy and pasted this straight from a Parasol Press Release.

[JeffreyC]

Originally Posted by hugo@gabem

I wouldn't be surprised if this happens more frequently in the future, they are essentially the same as the master vendor contracts that agencies occasionally have with clients.

It would be a very interesting contract to read (or pass to someone who could give you the highlights).

What are you going to do if one of your contractors get a position through this agency and they're told they have to stop using your services?

[The SMG]

Originally Posted by JeffreyC

What are you going to do if one of your contractors get a position through this agency and they're told they have to stop using your services?

Not much they can do JC. Agencies hold ALL the power - you know that my friend.

G

[hugo@gabem]

Originally Posted by The SMG

Not much they can do JC. Agencies hold ALL the power - you know that my friend.

G

The SMG does indeed speak the truth.

It's something we've already faced in the form of the occasional PSL, and it is irritating, but there isn't an awful lot we can do about it.

Our core customers tend to be pretty loyal so we might lose them for a contract or two but they do return fairly quickly, which is always good.

[monstro]

they do hold most of the power but not all. We have lost a few contractors to these arrangements but have found in some cases where PSLs are supposedly fixed, if contractors kick up enough of a stink that they can get around this.

Personally I can see why these are popular but frankly the tender processes are like the World Cup bidding. Some humorless bint from HR will go on about the need for compliance, service, value to the contractor et. Which is fine. But the fact that the 'suggestion' that £5 per timesheet is the minimum expected to be considered makes a bit of a sham of the whole thing.

Also having a high priced umbrella like Parasol as the sole company you can use is asking for trouble from your contractors.

[The SMG]

Originally Posted by monstro

they do hold most of the power but not all. We have lost a few contractors to these arrangements but have found in some cases where PSLs are supposedly fixed, if contractors kick up enough of a stink that they can get around this.

Personally I can see why these are popular but frankly the tender processes are like the World Cup bidding. Some humorless bint from HR will go on about the need for compliance, service, value to the contractor et. Which is fine. But the fact that the 'suggestion' that £5 per timesheet is the minimum expected to be considered makes a bit of a sham of the whole thing.

Also having a high priced umbrella like Parasol as the sole company you can use is asking for trouble from your contractors.

Good point!

Lets all put our cards on the table here...

On the whole, regardless of what some may say, umbrella companies generally get a raw deal.

FACT.

Take the AWD as an example. Recruiters will once again place ALL responsibility in the hands of the umbrella. It'll be the umbrella's job to not only pay Mr. Contractor on time, but also sort out all the irrelevant EU bullsh1t paperwork to ensure they're compliant with AWR. And if they don't want to go down that route, they (the umbrella) will need to pay Mr. Contractor in between assignments, which in itself will open another can of administrative worms.

G