Ripped off by agency on the rate due to lies? what are my options?

[Patek]

Issues with agency now resolved - thanks to those who contributed. thread ended

[northernladyuk]

Hello all, a really great forum you have here, some very interesting reads and I’ve earned a few things already. My main reason for joining the forum is the ask the following question:

I believe I have been deceived by my agent, and I’ll leave it for you to decide if it is real potentially illegal deception or if its just really good business savvy by a hot agent and I’m just a mug who fell for his lies.

Some introductory notes. I am a construction professional and my current contract is for the government however I am outside of IR35 – no need to go any further into the details of this.

The going rate for my job in the public sector in London is £350 lowest and £450 at the top end for more senior specialists. I have a specialist skill for this particular client and the roll involves some travel to such locations as Afghanistan, Iran, but also Caribbean, EU, etc, so we roll with the punches. It therefore means time away from the wife and kids occasionally and doing a job not many can do so the higher rate is applicable.

I have been working for building contractors in the public sector for the past 3 years on a LTD company, and generally the market is good. The agent who contacted me offering me the chance to interview for this particular roll wrote that the rate was £450 a day.

I went to the interview, got the job on provision of some security clearance checks, all good! I knew I would pass security, so I handed my notice in to my current client who I had a lot of respect for and did not want to give short notice, so I said I would be finishing up in 4-6 weeks.

The security clearance took longer than expected and I agreed with my client to work for another few weeks, they were organizing a replacement but hadn’t found one at the time. But they eventually did.

As soon as the security was granted, agent called me up and confirmed I had handed in my notice and asked when was the soonest I could start. I said I could start in 2 weeks.

The agent called me back the same day claimed that he spoke to the client and the client now can't pay £450 a day, and it was wishful thinking on the part of the agent that they would agree £450! He asked what is the lowest I would accept?

Me thinking he was like all other agents I’ve used in the past whereby they take a fixed fee of 20% or 15% on whatever rate I agree with the client. And said well the lowest I would go is £400 as that is what I was already on. He said he would call me back and let me know

He called me back 10 minutes later and said that he’s discussed with the client and the absolute maximum they will pay is £395. And was it really worth it to lose the new job for £5? I could hear the sadness in his voice that he was disappointed the client was behaving like this. (very good actor?)

I had already handed my notice in to my existing client so what choice did I have? I accepted the £395. Always a little bitter about this as he sold it to me as £450, so I thought the client was being a bit of a d1ck to low ball me at the last minute. Being government, I was surprised. However, I got on with it.

I have now been working for the new client for 8 weeks and have since discovered by discussing with other contractors that the client pays a fixed rate to all of their agencies, every single time as a government thing. therefore the £55 per day I was reduced by is pure additional profit to this agent and he span me a really good lie by making out hes been speaking to his client when likely his boss has been in his ear telling him to see how low I’ll accept and say whatever you can to make him accept less.

Essentially this is £1,100 before tax that my family is going without and this agent is creaming off the top off of my hard work. I’m more than happy if he gets his 15% or 20% whatever it usually is, as he’s placed me and it is what it is. but that is open and transparent. What this guy has done is a disgrace and surely lying like that is illegal? As he's having an imaginary conversation? What if I may or may not have recorded the conversation and played the recording back to my client?

Basically I would like to know my options, as I know £450 is the correct rate I should be taking home based on other contractors there doing similar jobs.

Could I call him out on the bulltulip and demand the rate be put to £450 or I walk? So bluff him back?

Could I cut him out of the equation and sign up to one of the more regular agencies who operate with this client and potentially negotiate and even better rate as I'm already settled in with the client? Or at the least get them to match it

I have gone through all my correspondence with him, and basically I have never actually physically signed the contract (a copy that he’ received in his email) or signed the opt out. I have not posted a hard copy. I was chasing him for a hard copy for my remortgage, but he never asked me to return a signed version. he has never chased me for the hard copy; he was probably too busy seeing £ signs in his eyes

So how does this place me in regards to changing agency and cutting him out of the equation all together? there are plenty of long standing agencies working with this client, this guy is new to this particular client.

curious from a legal stand point if i have effectively signed the contract by just agreeing via email to take the job and actually go to work? And by receiving the money each week to date?

Very curious guys. I have another 4 months left on the contract, and the likelihood is the client will want to extend it as they like me and I do a good job for them, there is plenty of work down the pipeline.

Really sorry for the long and possibly immature post – I am just quite angry at the minute and needed to vent !

Many thanks

Suck it up or walk.

[northernladuk]

Suck it up or walk.

This.

[Patek]

Suck it up or walk.

Many thanks of your quick reply. i've tightened up my OP so it should make a bit more sense, if you wouldn't mind having another look? Thank you

[Patek]

This.

So can I make arrangements with another agency on the clients books, get a new contract with them, and just disregard my existing agent (i.e. walk, but then walk back in), considering i did not sign the contract? what are your thoughts on this? many thanks for your help in advance

[northernladuk]

Many thanks of your quick reply. i've tightened up my OP so it should make a bit more sense, if you wouldn't mind having another look? Thank you

Still too long, didn't read. NLadys advice still stands.

[eek]

You've been played and there is possibly little you can do about it unless the customer pays a fixed percentage commission to the agent.

[Patek]

Still too long, didn't read. NLadys advice still stands.

i've created a 2 paragraph short version. hopefully that is sufficient for review (you don't have to review it of course)

[northernladuk]

Don't ever start a contract without signing the paperwork. HTH

[Patek]

You've been played and there is possibly little you can do about it unless the customer pays a fixed percentage commission to the agent.

I know now that the customer pays a fixed price (first time i'd heard of this), so it is in the agents interest to negotiate the lowest rate with me possible.

at his original offer of £450 (and the going rate), i'm assuming there was plenty of margin in this. so with the extra £55 a day he's making a killing. however, the way he got there (fake phone calls with the customer that did not take place), and originally offering £450 before and after the interview and job offer, surely this is totally bad practice and against some sort of rules?

however if not, not a big deal, if can i change agent considering i have not signed any formal contract to date with this agent or customer? thanks