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PAYE FTC oddity - Client request to return as Contractor

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    PAYE FTC oddity - Client request to return as Contractor

    Hi,

    Here is a story......

    One day a contractor is phoned by a recruitment agent as their client requires a person with contractors skillset & experience to work on a failed IT project at a subsidiary.
    The recruitment agent insists despite being an FTC the client will only engage on a PAYE basis.
    Contractor foolishly accepts as Jezza K is doing his head in on a daily basis. Job offer and employment t&c's signed but there is no job description as no such position exists in the subsidiary they just need skilled person to save the project/subsidiary.
    Former Contractor, now an employee heads off to said subsidiary and starts using his skillset & experience to investigate, diagnose and fix issues where possible.
    Situation far worse than expected with Subsidiary coming close to meltdown on a number of occasions and second contractor (contracting) brought in directly by client.
    Employee (Ex-Contractor) & Contractor 2 slowly but surely start sorting out issues and situation at subsidiary starts to improve after 9 months.

    Ex-Contractor, now an employee finds out that recruitment agents contract with the client lands them a big WAD of cash each time the FTC is renewed..
    Ex-Contractor, now an employee told by client they made no PAYE only demands as they routinely engage contractors when and as required and were told that it was the Contractor who wanted to go PAYE FTC.
    Ex-Contractor, now an employee strongly suspects recruitment agent manipulated situation to their advantage and decides not to renew FTC anymore but instead go on a long holiday once contract expires.
    Recruitment agent strangely quiet.
    Client wants to engage former Employees (who is a Contractor again) services when they return from their holiday as a Contractor, as should have been done in the first place - because there is much work remaining to rescue subsidiary.
    Contractor 2 also expressing concern due to volume of work and lack of specific skillset.

    Contractor 1, now an Ex-Employee, states he might think about it... he does want to finish his plan for rescuing Subsidiary and nothing to look forward to on tv now that Jezza has been axed


    How does/should this story end?
    Last edited by MEMEME69; 7 June 2019, 18:22. Reason: Cos some lad told me to...

    #2
    Contractor goes back to agent and sets out exactly how he wants to go forwards knowing full well the agency wasn't telling the truth and that the client still wants him. The agency will be under pressure to secure contractors service and keep the client happy so is most likely to fold to contractors demands. Agency will still make money at the end of the day, but just not quite as much as when they were be bending contractor over a barrel. Contractor does that and waits until agency comes back with the good news.

    Contractor is aware that the agency has form and it's likely they will try negotiate down to maximise their cut. Contractor has to check they size of his cojones and decide whether to push back or accept.

    P. S. we aren't head hunted really. That's only MF.

    P. S. S contractor on FTC isn't a contractor. He's an employee. Find and replace contractor for employee in original text.
    Last edited by northernladuk; 7 June 2019, 17:58.
    'CUK forum personality of 2011 - Winner - Yes really!!!!

    Comment


      #3
      oh, good grief!

      Comment


        #4
        Originally posted by northernladuk View Post
        Contractor is aware that the agency has form and it's likely they will try negotiate down to maximise their cut. Contractor has to check they size of his cojones and decide whether to push back or accept.
        .
        Actually, scratch that. I see from your history you were hoodwinked by an agency into signing up for a £230 per month accountancy package so negotiation and business may not be for you
        'CUK forum personality of 2011 - Winner - Yes really!!!!

        Comment


          #5
          Originally posted by northernladuk View Post
          Actually, scratch that. I see from your history you were hoodwinked by an agency into signing up for a £230 per month accountancy package so negotiation and business may not be for you
          Well stuff you and your post edit request....

          Comment


            #6
            Originally posted by northernladuk View Post
            Contractor is aware that the agency has form and it's likely they will try negotiate down to maximise their cut. Contractor has to check they size of his cojones and decide whether to push back or accept.
            Precisely and I imagine Contractor wants nothing more to do with recruitment agent which enables them to make any cash...

            Originally posted by northernladuk View Post
            Contractor has to check they size of his cojones and decide whether to push back or accept.
            I believe Contractor has no issues in that department resulting in many gasps from other patrons glancing into his urinal...

            Comment


              #7
              Originally posted by MEMEME69 View Post
              Precisely and I imagine Contractor wants nothing more to do with recruitment agent which enables them to make any cash...
              I don't quite understand that but unfortunately that is the way of the world. It's their client and you are getting a cut of the agents money so there isn't much you can do about it except negotiate the situation round to suit you. You cannot just go to another agent as the first one will have a handcuff which will certainly stand if you try jump ship.
              'CUK forum personality of 2011 - Winner - Yes really!!!!

              Comment


                #8
                Originally posted by northernladuk View Post
                I don't quite understand that but unfortunately that is the way of the world. It's their client and you are getting a cut of the agents money so there isn't much you can do about it except negotiate the situation round to suit you. You cannot just go to another agent as the first one will have a handcuff which will certainly stand if you try jump ship.
                Client has had this pointed out and insist no handcuff exists as they're not into BDSM....

                Comment


                  #9
                  Originally posted by MEMEME69 View Post
                  Client has had this pointed out and insist no handcuff exists as they're not into BDSM....
                  What has it got to do with the client? You have no contractual relationship with the client.
                  'CUK forum personality of 2011 - Winner - Yes really!!!!

                  Comment


                    #10
                    Originally posted by northernladuk View Post
                    What has it got to do with the client? You have no contractual relationship with the client.
                    I believe the Contractor doesn't have any contractual relationships anymore in this story at all - recruitment agent didn't present them with anything to sign...

                    Comment

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