Pay reduced without notice

[Speck1965]

I am an agency worker on a Swedish Derogation arrangement and as such I have a contract of employment.

My contract of employment states my pay is £10.24 per hour, however I was given a pay rise a few months ago increasing it to £10.48 per hour, the contract of employment was not updated and still states the old £10.24 per hour rate.

 

On 4th Feb 2014 I was advised verbally that my pay would reduce to £10.00 per hour and this would be effective week commencing 10th Feb 2014, they said a new contract page would follow. When I said I was not happy and asked what my options were they said basically "take whats on offer or leave"

 

OK, I am fairly certain they cannot do this but how do I deal with it from my position?

 

Many Thanks

[Speck1965]

228 views, 4 days, no help or advice from anyone?

Really being screwed over by this agency now as they want to contract me to £6.31 per hour, can anyone even suggest an organisation that could help?

 

Thanks

[firstclassx]

Take your skills to another agency for starters!

[Speck1965]

Not an option, I am doing a particular job for a company that has an exclusive deal with this agency.

Thanks though, reasonable suggestion.

[caro]

Have the agency said why they're cutting the rate. Are the company paying the agency less, and if so, why?

[Speck1965]

The Client company have screwed the agency down for a better deal, we get a pay cut.

[caro]

In that case I suspect there's not much you can do unless there's something in your contract. Is your job at all specialist?

 

The only other thing I can suggest is checking it out with acas.

 

I am by no means an expert so maybe others can give more positive advice.

[hightail]

 

My contract of employment states my pay is £10.24 per hour, however I was

given a pay rise a few months ago increasing it to £10.48 per hour,

Are you sure this is a contract of employment? Most agencies work a different system which is called something like a contract for services.

[Emmzzi]

I would expect you to be given notice if you are not happy with the change. What does your contract say about that?

[Speck1965]

Yes, its a contract of employment - Swedish Derogation.

[Speck1965]

I would expect you to be given notice if you are not happy with the change. What does your contract say about that?

 

Nothing, but law states I should be getting notice.

[Speck1965]

Right, a solution of sorts. I have now joined Unite Union. Need to wait a couple of weeks but their lawyers are going to help me.

Thanks to everyone who offered suggestions.

[steampowered]

The Swedish derogation relates to the Agency Workers Regulations. If the SD applies what you have is an agency contract, which is a contract for services not an employment contract ... so technically you are not an employee.

 

You might have a right to equal pay under the Regs if there are other permanent employees in the same role. But if it is all agency and your agency contract allows them to do this, then it might be legal.

 

I hope the Union are helpful.

[Speck1965]

The Swedish derogation relates to the Agency Workers Regulations. If the SD applies what you have is an agency contract, which is a contract for services not an employment contract ... so technically you are not an employee.

 

You might have a right to equal pay under the Regs if there are other permanent employees in the same role. But if it is all agency and your agency contract allows them to do this, then it might be legal.

 

I hope the Union are helpful.

 

No you are wrong. Swedish Derogation means that I have been taken on by the agency as an employee. I am then "loaned out" to another company as required. I am on an eight hour a week contract. My contract of employment is entitled "Contract of Employment". The purpose of Swedish Derogation is to allow the employee to receive wages during down periods between assignments. This is calculated as 50% of the highest wage received during the previous 12 weeks. Although I am only contracted for 8 hours a week I get 40 - 50 per week, virtually every week.

[steampowered]

Possibly. I haven't researched it. Hope the Union are helpful.

[Speck1965]

Swedish Derogation is a loophole that allows the client company to get out of having to pay the agency worker equal pay with the regular guys after 12 weeks. Its stinks as it completely undermines the protection that AWR2010 offers to agency workers. It really needs to be banned, but probably won't be!

 

Thanks - will post end result here for information.