My Employer’s an Umbrella Company, What are my Rights? Part One

By Helen Broughton MBE

What are your rights?

Hundreds of thousands of contractors, whose expertise supports companies with projects of a fixed duration, are compelled to work through a limited company, either one of their own or an Umbrella Company.  They move from contract to contract providing specialist services to thousands of businesses across the UK and are often referred to as the backbone of the economy, providing a flexible workforce such as has never been seen before.  The so-called gig economy will undoubtedly inflate these numbers exponentially.

The relationship between an Umbrella Company and its employees

The relationship between an Umbrella Company and its employees is a relatively new phenomenon.  As the contingent workforce in the UK has grown at an unprecedented rate over the last 20 years, so has the emergence of lots of legislation to try to manage the taxation and rights of this sector of UK PLC.  Each change has led to more change as loopholes emerge, are exploited and then shut down.  For some, it has been a game of ‘catch me if you can…’

Danbro take their employment responsibilities very seriously and this is most definitely not a game.  Being caught up in the middle of a model that exploits a loophole is definitely not fun!  Choosing a provider based solely on net pay can lead you down a path that has devastating consequences.
There is nothing wrong whatsoever with tax planning and making sure you don’t pay more than you need to, but this is a world apart from tax avoidance and paying less than you should.  After all who, exactly, ends up picking up the tab when things turn out to be not as they seem?

It doesn’t matter where you are, or what role you perform, we see all our employees as part of our Danbro family. Our ‘Waltonesque’ approach to employment takes into consideration the challenges faced by contractors and looks to minimise them as much as possible. At Danbro we operate as your employer in every way we can. Employing people is what we do and we want to do it well.

So, whether you’re with Danbro or not, what are you entitled to? Find out in Part Two.

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