Our Employer of Record (EoR) / International PEO solutions enable staffing organisations and foreign businesses to expand into the United Kingdom and hire employees without the need to establish a new corporate entity.
We take care of the entire employment relationship including managing all social security costs, social benefits and statutory rights afforded to the employee. The best part is that our EoR solutions are completely managed by the Capital GES team, allowing you to concentrate on international expansion.
Interested in doing business in the United Kingdom? Here are the top five things you need to know:
1. National Insurance
All workers, employees and self-employed people living in the United Kingdom have to pay National Insurance. There is a threshold and if an employees income falls below this, they do not need to pay. For 2017/2018 this is £157 a week or £681 a month.
2. Fixed Term Contracts
Employees who work past the end of a fixed term contract without a formal renewal enter into an ‘implied agreement’ with the employer that the end date has changed. Those on a fixed term contract for four or more years will automatically become a permanent employee, unless the employer can prove there is good reason for this not to happen.
3. Maximum Working Hours and Overtime
A typical full time working week in the United Kingdom is between 36 and 40 hours per week. The Working Time Regulations provide rights to a limit of an average 48 hours a week on the hours a worker can be required to work, though individuals can “opt out”.
4. Holiday Entitlement and Breaks
The Working Time Regulations also provide employees with the right to paid annual leave of 5.6 weeks per year. Employees must also receive 11 consecutive hours of rest in any 24-hour period as well as a 20-minute rest break if the working day is longer than six hours.
5. Public Holidays
The UK recognises eight public holidays per year. If a bank holiday falls on a weekend a substitute weekday becomes a bank holiday, normally the following Monday. It differs in Scotland where most bank holidays are not recognised as public holidays and are generally determined by local authorities across Scotland.
If you are looking to expand your workforce in the United Kingdom (or any other of the 30 countries we operate in) without the burden of registering an entity and incurring significant expense and administration then please get in touch with Nick Broughton at Capital GES on +44 7539 337 563 or email Nick.Broughton@Capital-GES.com.
Capital GES provides market-leading employment services to staffing companies, corporate clients and independent contractors in all sectors across Europe, Latin America and southern Africa. With headquarters in Switzerland and offices in the USA, Brazil and UK, Capital GES provides services including Employer of Record, Contractor Payroll, Invoice & Pay and IC Compliance Checking.
For more detailed information on employment matters in the United Kingdom, including statutory benefits, employment regulations and contract requirements, download our free guide today or contact our team for a free consultation.