BECTU submission on Draft Conduct of Employment Agencies and Employment Businesses Regulations 2002

30 July 2002

BECTU submission on the Draft Conduct of Employment Agencies and Employment Businesses Regulations 2002 to the UK Government DTI (Department of Trade and Industry).

On behalf of BECTU, I give below our response to the latest consultation. This brief response addressing the particular points only should be taken against the background of our earlier and fuller submissions on agency standards in July 1999 and March 2001. We respond on the new proposals in the same order in which they were presented.

Regulation 10

Our concerns in this area focus on 'temp-to-permanent' rather than 'temp-to-temp' and were expressed in our response to the previous consultation.

Regulation 26

We take a very strong view in favour of a prohibition on charging fees to work-seekers in the entertainment sector. In so far as this applies such an approach to work seekers in the sector who are companies, we support it. The prohibition is necessary, in our view, in the light of the particularly vulnerable position in the labour market of many of our members using agencies - especially our walk-on or film artiste members.

New Regulation 20

The 'suitability' issue has not so far been seen as significant or relevant for our members.

Limited Company Contractors

We represent a number of freelances who use agencies in the entertainment sector. A minority of these may operate as limited companies (typically in the form of one-person service companies, whose main or sole function is the hire of the individual's own labour). These individuals require the same regulatory protection, for the same reasons, as all of our other members. We therefore see no justification for the exclusion of limited company contractors (LLC's) from the legislation - certainly in the entertainment sector. Individuals operating through service companies retain the essential characteristics of 'workers' rather than small businesses. Their vulnerability within the freelance labour market remains the same as for other freelances. They are dependent on production companies for work and should not be regarded as independent entrepreneurs or corporate entities able to generate their own flow of work. They continue to need the full protection of the regulations and there should therefore be no exclusion of LCC's in the entertainment sector.

We hope you will take note of our views. While we are pleased to have the opportunity to respond to the consultation, we note that the whole process of discussion on the regulations has now been extremely prolonged. We therefore look forward to rapid progress on putting the revised regulations in place.

Last updated 10 August 2002