With Holiday Pay, Minimum Wage and non-compliant EDM models making headlines for the recruitment sector, it’s time to understand ‘why?!’

We’ve seen some high-profile scandals recently, relating to avoiding paying holiday pay, dropping workers below the NMW rate and even abuse of the EDM… That’s before we even talk about mini umbrella fraud or trying to avoid Employers NI payments!

When you give away the rights of the worker to an outsourced payroll company (umbrella or PAYE), you no longer have a say in the compliance relating to the worker – or do you?

What can be done?

Choose a trusted partner - transparency is key. Does your supplier give you access to Payroll reports and HMRC submissions? What about Payslip audits from a credible third party? (And, no, we’re not talking about being part of a self-regulated 'accreditation' run by the payroll companies themselves.)

Check that the supplier’s payroll is compliant – are all charges visible and compliant? Is extra income being derived from NI thresholds, holiday pay, Pension thresholds or even tax rebates that the workers are entitled to?  Have you ever asked for payslips to be ratified against RTI submissions?

Carry out consistent audits on your workers’ payslips - this is not only recommended, but would appear it’s vital when choosing a preferred supplier. If your payroll company isn’t compliant, it means you’re not compliant.

If you have concerns about your provider, we will offer a free payslip audit and provide a report from our trusted audit partner

Workers are now seeking external audits to ensure they’re not missing out on vital pay elements. After all, in many cases, they’re paying a fee to be paid..! It’s time to protect your business and reputation.

Our compliance is why we have the ability to work in the GLAA sector, and use SafeRec for all payslips processed under our (outsourced) employment solution.

Our external GLAA Auditor, when looking through the latest ‘Contractor Voice’ exposé on wage manipulation exclaimed; ‘Firstly I have never seen a contract quite like that and am still perplexed as to why?!’

To learn more about SafeRec click HERE.