Help! I think my agency is trying to scam me.

Long story short, I am on the brink of a locum job and I am excited. The employer is keen for me to start ASAP (tomorrow).

The agency is the spanner in the works. They have been trying to persuade me to be paid via an umbrella company. I am not convinced the agency worker has been truthful.

1) s/he has said that if I go with an umbrella company I will be paid c £3.00 more per hour and I will retain statutory employment rights (for a small fee). I have the option to select any umbrella company of my choice.  

2) s/he has said that if I opt to be paid by the agency (PAYE) I will forfeit all statutory employment rights and be paid at the standard rate instead of enhanced as above.

Where I think s/he is looking to pull the wool over my eyes is that s/he has said I will not be employed by the agency but via the agency.

I have been provided with the agency handbook (of this specific agency) and it mentions all statutory rights as they apply to employed earners. The agency worker has contradicted the agency handbook and that is what is making me think s/he is not being honest.

Any help appreciated (the agency is sector specific and not a well known High street brand).

Thanks, in advance.



Edit: I have asked the agency worker to clarify this and s/he sent me a link to some website with an article from 2009. . I was expecting something more credible. I cannot get a straight answer from this person

I am just left with a nasty feeling of being potentially scammed.

I am on the way out, here is all I have found thus far...

What are umbrella companies, and how do they work?
How to find reviews / compare schemes
If you are starting your first contract, chances are you found the role via a recruitment agency. Many agencies have preferred supplier relationships with some of the largest umbrella schemes, and they will encourage you to join one of their partner suppliers. We would recommend you take some time to consider your options, and research the rest of the market before signing up to a particular scheme.

https://www.itcontracting.com/umbrella-companies-a-complete-guide/

Umbrella Company V Agency PAYE – what’s right for you?
https://www.liquidfriday.co.uk/umbrella-company-v-agency-paye/

Thanks ND.

I have just done some more digging and spoken to an actual umbrella company

www.parasolgroup.co.uk

Very interesting conversation. The crux of it is, with this arrangement, the 'employee' / contractor (whatever they are referred to) is liable for the employers NI contribution as well as the employee contribution, so double whammy. It is an expensive way to get paid  

I can see why the agency was so keen to get me out of their responsibility and onto someone else (anyone); they wanted to be rid of any obligation to pay employer's NI contribution    

I have now spoken to my agency worker (via telephone, we have never met) and this person has admitted that s/he actually provided misleading information (blamed poor info' from a website    ) and that I have all the same statutory rights with agency PAYE as s/he has as an employee there. The agency is responsible for the employers NI contribution and everything is as outlined in the handbook. This person expressed surprise that I had actually read the handbook. It appears they had assumed that I had not read it and that I would believe whatever they told me. I felt the person treated me with a bit more respect as the result of my diligent questioning  

Looking forward to starting work

Thank ND

Update: Happy to report that my first day at work has gone well and I am looking forward to tomorrow.

well done caker enjoy your new job

though reading the rest of the info was interesting so the employer made a fraud / deception comments to get you to go onto that system, i can tell you is its in there handbook of what they have to say at most agencys

Very interesting conversation. The crux of it is, with this arrangement, the 'employee' / contractor (whatever they are referred to) is liable for the employers NI contribution as well as the employee contribution, so double whammy. It is an expensive way to get paid Evil or Very Mad

I can see why the agency was so keen to get me out of their responsibility and onto someone else (anyone); they wanted to be rid of any obligation to pay employer's NI contribution pirat

I have now spoken to my agency worker (via telephone, we have never met) and this person has admitted that s/he actually provided misleading information (blamed poor info' from a website silent ) and that I have all the same statutory rights with agency PAYE as s/he has as an employee there. The agency is responsible for the employers NI contribution and everything is as outlined in the handbook.