Has anyone any first hand experience of the Swedish derogation model, which seems to be getting used as a workaround to adopting the Agency Workers Regulations.

What are the real drawbacks from both the employees perspective and the organisation to which they are sold by the agency?

Sitting here wading through the legislation at the moment, but HR is not my specialism.

 

Why did I click on this thread thinking it was about Swedish Models working for an escort agency?

I feel cheated.

 

 

 

It's a shame my wife is in Sweden at the moment in her role as HR Director otherwise I'd have asked her. (seriously)

Sorry.

 

I think the only ones to benefit are the lawyers drafting the contracts for the employers and agencies as both need to ensure the worker's rights are not breached. It does seem to be the only work around I've seen offered by the industry I work in.

This legal outfit may be able to give you some initial free guidance? Blake Lapthorn there must be a lot of grey areas in terms of the 'comparators' how exactly do you compare permanent equivalents.

Also a quick guide and some other info here: agency workers regulations it becomes law on 1st october so good luck getting your head around it before then!

 

I knew nothing about this until this post but the AWR is shaping up to be pretty cimplicated from what I see, provided you can trade as a limited company and meet he IR35 requirements its not an issue though. The basics of the swedish derogation model seem to be.

The agency worker must have agreed to sign an ongoing, permanent employment contract with the Umbrella Company prior to their first placement
The agency worker must be paid in-between assignments - even if they are not generating income for the umbrella company
Where an agency worker is between assignments, they must be paid at least 50% of their contract rate (the highest rate of pay received in the previous 12 weeks of work and at least at minimum wage) for at least 4 weeks before a contract can be terminated, unless the employee resigns.

What I don't know yet is wether there is a mimimun guranatees of hours, if an agency has a contract offering 20 hours a week with the rest is overtime then it does offer some room to manouvere. Are they defineing pay rate as an hourly or weekly pay rate as this has massive implications for how much a worker would have to be paid in non working periods.

The other issue is why can't a company continuosly hire and fire an employee to avoid paying them in non working periods ?

I can't help but think that some people are going to make some serious money out of this.

 

I read somewhere that they have email and phones over there now ..

Could just have been gossip though