Notice Periods & deducting lost margin

[mbakercctech]

Hi Community,

This is my first post so please be gentle.... I have a situation with an agency I have not worked with before as they were on a PSL for the client I was working at, Basically my contract came to a natural and my client served me notice which on both sides is currently 4 weeks.

My client has allowed me time to attend interviews and also given consent to finish early if I secure another contract, which I have. My new client wants me to start straight away on Monday which is 11 days earlier than my offical end date.

I served early notice to my agency and they have come back telling me that a clause in my T&C's can be invoked to recover the loss of margin and it will be deducted from my final invoice which I feel is totally unfair. My question is, if both parties i.e. myself as supplier and the client that I work for on site agree to an early termination, can the agency invoke this clause?

Thanks

Mark

[Wanderer]

I served early notice to my agency and they have come back telling me that a clause in my T&C's can be invoked to recover the loss of margin and it will be deducted from my final invoice which I feel is totally unfair. My question is, if both parties i.e. myself as supplier and the client that I work for on site agree to an early termination, can the agency invoke this clause?

It's definitely a tulipty clause for them to have in the contract. I would be inclined to withdraw the termination notice and then just have an agreement with the client that you don't work or bill for those last few days. Effectively the same thing but it defeats the agency's penalty clause.

How much is their margin? If they are on the PSL then it's probably only 3-7% of your income so it may not be worth fighting over.

[prozak]

ha! What a crock.

post the clause so you can get a more informed reply.

Thanks.

[d000hg]

It's definitely a tulipty clause for them to have in the contract. I would be inclined to withdraw the termination notice and then just have an agreement with the client that you don't work or bill for those last few days. Effectively the same thing but it defeats the agency's penalty clause.

WHS assuming you have the "client is not obliged to provide work" clause.

[northernladuk]

I served early notice to my agency and they have come back telling me that a clause in my T&C's can be invoked to recover the loss of margin and it will be deducted from my final invoice which I feel is totally unfair. My question is, if both parties i.e. myself as supplier and the client that I work for on site agree to an early termination, can the agency invoke this clause?

Just to pick up on this... There are not 'both parties'... There are 3 parties involved you have to consider. Your contract is with the agency not the client. Haven't digested the thread to comment but never forget this else nothing will make sense.

[Sausage Surprise]

In my experience I got the client to threaten to remove them from the PSL. This seemed to have the desired effect.

[lithium147]

How about if your sick for the next 11 days?
Or does the margin clause cover sickness as well?

Atleast you will get to find out what their margin is. I have always wondered..

[Wanderer]

In my experience I got the client to threaten to remove them from the PSL. This seemed to have the desired effect.

That's a good one. Have a talk to the agency and say you are unhappy with what they are trying to do. If they won't back down then drop it into the conversation that you will go and discuss it with the client and see what they think. That normally sends the agencies ballistic because it exposes them as a bunch of nasty pricks to the client.

How about if your sick for the next 11 days?
Or does the margin clause cover sickness as well?

Or holidays...