In April 2020, the UK Government introduced a change to Regulation 13A of the Conduct of Employment Agencies and Employment Businesses Regulations 2003.
The change stated, “all new agency workers must be given a Key Information Document before agreeing to terms with an employment business,” and made recruitment agencies responsible.
With scrutiny of the umbrella sector intensifying, the role and importance of the Key Information Document (KID) are now becoming abundantly clear.
At TJW Contract Solutions, we’re always looking to help our agency partners, so we’ve produced the following overview.
Key Information Document overview.
- What is a key information document? - A KID is a document that provides contractors with an outline of their relationship with their agency and umbrella company (where applicable), as well as the basic detail about their pay, a breakdown of how their rate will be calculated and affected by deductions, and details of pay frequency.
- Who should provide the Key Information Document? - The agency is responsible for providing a KID when registering any new agency worker.
Generating KIDs can be quite burdensome for agencies, so where your contractors work via TJW, we’re happy to help out and can provide a KID to you.
All you have to do is issue it to your contractor.
- What detail should a key information document include?
The KID should be independent of other documents, be clearly titled, and should confirm the following:
- All parties in the supply chain, including the contractor, the agency, and the umbrella company, where applicable.
- Who will employ the contractor?
- Who will be responsible for paying the contractor?
- Details of pay rates.
- Details of pay intervals.
- Details of statutory and non-statutory deductions.
If your contractor works via TJW, we can confirm all of these details for you.
- When should you issue a key information document?
The KID needs to be issued before agreeing to terms with your contractor.
You’ll also need to issue an updated KID where there are any major changes to the information included, and this must be done within five working days of the request or change.
TJW Contract Solutions - taking the hassle out of KIDs.
At TJW, we take the hassle out of KIDs for you.
Our flexible and tailored solutions allow us to advise and support you in remaining compliant without getting tied down with rules and administration.
You can see a detailed list of the contents required for a KID in the government's guidance notes, Providing a 'Key information document' for agency workers: guidance for employment businesses.
Alternatively, the team at TJW Contract Solutions is always happy to help. You can contact us on 01784 270300.