The government has announced plans to curb sharp practice by some employment agencies.
First, it intends to outlaw the temp-to-perm fee. This is when an employer decides to take on a temporary worker engaged through an agency. Under the proposals, the employer would be able to agree an extension to the hire period at the end of which, the employer could engage the temp permanently without any further fee. This would protect the employment agency’s legitimate commercial interests while ensuring that temp-to-perm fees do not provide a surprise charge to the employer nor lead to temporary staff becoming unemployed when there is a job for them.
Second, the government is to end the scam whereby model and entertainment agencies charge up-front fees when there is little prospect of work. One London model agency charged £380 portfolio fee and £10 a month regulation fee. Only two of its 150 models ever found work.
Third, children and the elderly will be given additional protection against unsuitable agency workers.
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