If you have ever worked with a recruitment company before, you may have heard about the Conduct Regulations. These were introduced to make sure that agencies operate fairly and protect all candidates from poor practices. So, what do they actually mean for you as an interim worker/contractor? And what does “opting out” mean?
What are the Conduct Regulations?
Created to ensure that recruitment companies treat workers fairly, act transparently and don’t exploit job seekers, the Conduct Regulations cover both agencies that place people in permanent jobs and businesses supplying temporary or contract workers.
Here’s what they do for you:
- Ensure fair treatment: agencies must act honestly and not be misleading regarding roles or contract terms.
- Guarantee key information: before starting a role, the agency must provide details about pay, working conditions and job responsibilities.
- Prevent unfair fees: agencies cannot charge you for finding you work.
- Regulate contract terms: the agency cannot insert unfair clauses in your contract, such as excessive notice periods.
- Protect against overwork: agencies must ensure workers are not required to work more hours than contractually agreed.
These protections are particularly valuable for workers who prefer security and regulatory safeguards in their assignments. However, some experienced interim professionals may find the regulations restrictive, which is where opting out comes in.
What does it mean to opt out of Conduct Regulations?
Opting out means the Conduct Regulations will not apply to your contract. This does not affect general employment rights under other laws, such as IR35 or employment protections under UK legislation, however it changes how your contract is governed.
(Contractors cannot opt out if they work with vulnerable people or anyone under the age of 18.)
Many interim workers prefer to opt out as it gives them greater contractual flexibility and freedom in their working arrangements, provides a stronger positioning for IR35 as it demonstrates operation as a genuine business and can appear more attractive to clients as it simplifies compliance requirements.
(It’s important to remember that opting out does not directly affect your IR35 status, as this depends on working practices and not just contractual terms.)
On the other hand, opting out requires workers to actively manage their own contracts and terms of working, and ensure fair treatment without relying on the agency.
Opting out is a personal decision and depends on a person’s level of experience and desire to take on additional responsibilities in terms of negotiating. You can always opt back into the regulations if you choose to at a later date, by giving notice to your agency.
If you’re unsure about whether opting out is right for you, get in touch with our compliance team at compliance@park-avenue.co.uk – we are happy to provide guidance and advice to help you weigh up the options.
Photo by Possessed Photography on Unsplash
