Scottish agency workers, already on the front-line of jobs cuts, face more misery because of plans by the English Parliament to gold plate the Agency Workers’ Directive, the Association Recruitment Consultancies (ARC) warned today (2 July).Just this week more than 355 agency workers in Scotland heard they are to lose their jobs following the merger of Lloyds TSB and HBOS. And last week up to 850 jobs at Hewlett-Packard in Renfrewshire were axed – with the company relocating work to the Czech republic. In both cases the majority of those affected are agency workers.

ARC is warning that government proposals to implement a gold-plated Agency Workers’ Directive, will lead to more cuts for agency workers and less flexibility in the jobs market. Adrian Marlowe chairman of ARC said:

“Government claims that they are only acting in accordance with the Agency Workers’ Directive, is a myth. They have gone well beyond the original directive proposed by the EU and this will result in fewer agency jobs at a time when many are already losing work and finding it difficult to obtain new positions.”

Proposals to give all agency workers equal rights after just 12 weeks are at the heart of the debate. The Directive does not apply to agency workers on assignment with the vast majority of average hirers, yet the government is implying that it does in order to justify a more burdensome UK implementation.

ARC has devised a two-tier system to protect workers and jobs. Low paid workers would automatically be entitled to equal rights after the 12 week period. However, those on higher rates of pay earning say more than 1.5 times the minimum wage would be exempt for the first year of their assignment. ARC maintains these measures are needed to protect the recruitment industry and encourage employers to take on new staff.

Adrian Marlow said:

The government consultation on the directive is due to end on 31st July and all indications are that they will rush the implementation through before the next election. Mr Marlowe went on to say:

“ARC is calling for a delay in the publication of the draft regulation to allow time to properly consider the impact of gold plating the directive and to take into account the fears of the recruitment industry that the government proposed implementation will lead to further job losses.”