Latest Case Study for Engineering

Tue 26 Jun 2007

A world leading food and beverage manufacturer recently chose to tender for their engineering and technical recruitment services because of the employment risks associated with their current contract workforce (both Ltd & PAYE) and those LTD companies that may not be IR35 compliant.

Contractors had been working mainly at one site, for up to 15-20 years, therefore could potentially be seen as the client’s employees and/or could be highlighted by the Inland Revenue for not being IR35 friendly, thereby putting the client at risk of heavy penalties.

The organisation wanted to:

• Work with one reputable and professional recruitment supplier for their UK wide requirements.
• Continue to maximise the use of the pool of good quality candidates in the marketplace.
• Remove the potential risk of having an “employer-employee” relationship with contractors and have full indemnification going forward.
• Ensure all non permanent staff (i.e. LTD companies) are IR35 compliant.
• Work with a supplier who could offer continuous improvement through operational excellence and innovation (i.e. e-timesheets/evolution).
• Source a supplier who could provide below the line cost savings.

Our Solution

SRG offered all of the above under a Vendor Neutral Managed Service model. This ensured a staffing recruitment solution was provided to meet all the client’s requirements, including removing all contractors’ risks (both employment & IR35) and maximising the pool of candidates by setting up a managed service with other key recruitment suppliers.