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Challenge to Agency Workers Directive

The legality of the draft AWD regulations has been challenged by the Association of Recruitment Consultancies.

The ARC claims that although there was a two part consultation process, some important aspects of the regulations were not included.

The specific technical issue concerns recruitment businesses that have no contract with agency workers. These businesses fall outside the AWD scope and yet the regulations state they can still be held liable.

Adrian Marlowe, the ARC chairman, used the example of a recruitment business, such as a master vendor. They do not have contracts with agency workers, or have an employment relationship with an employee and cannot be defined as a temporary work agency. They therefore should be exempt from the regulations.

Meanwhile, full implementation of the AWD moved a step closer yesterday as the 40 days allowed to amend statutory instruments ended. The legislation is due to come into force on 1 October 2011.

The ARC is warning firms not to adopt the AWD measures until they are aware of their precise responsibilities. This comes after news that ASDA has already introduced equal employment rights for temporary workers employed in its supply chain.

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