Chartergates Verified – Scope

Our review is comprehensive, and a full scope will be provided and agreed before each review.  However the main areas of compliance are:

MSC Legislation…

The review will assess the risk of the MSC legislation to you and your client.  As an umbrella, if verified you will be able to give your clients the confidence that they are not exposed to the Transfer of Debt legislation.

Agency Workers Regulations…

With the AWR applying to ‘workers’ and not just employees it is crucial that those engaged as self-employed are also outside of the definition of a ‘worker’.  The review will test this as well as looking at the procedures the umbrella has in place if it employs staff who do come within the grip of the AWR.

The contractual chain…

One of the key functions that an umbrella company serves is to enter the contractual chain correctly and provide a buffer for its clients.  The review will determine whether an umbrella company has successfully achieved this crucial aim.

Employment Status…

If an umbrella company engages subcontractors the review will assess whether they have correctly assessed the subcontractors as self-employed.  If they have not then they will be exposed to HMRC and Employment Tribunal claims.

Holiday Pay…

With rolled-up holiday pay being such a contentious area the review will assess whether the umbrella company has complied with the relevant legislation.  Where the umbrella company engages subcontractors the review will assess how robust the contractual arrangements are in the face of an Employment Tribunal claim.

Construction Industry Scheme…

If the umbrella company operates in the construction industry then it must operate CIS correctly.  If it does not then HMRC will levy penalties as well as withdrawing gross payment status.  The review will assess how the umbrella company operates CIS.

Employment Law…

As the raft of employment legislation grows, including the AWR and auto-enrolment it is crucial for an umbrella company’s industry standing that it remains compliant.  The review will assess employment procedures in place as well as the relevant documents to determine compliance.

The Expenses Legislation…

One of the primary benefits of an umbrella company is the operation of expenses.  However, this must be done compliantly and if it is not then the risk is an HMRC enquiry as well as a large bill.  The review will assess the procedures in place as well as the relevant documents to determine compliance.

National Minimum Wage…

If an umbrella company fails to comply with the NMW then the penalties as well as the bad publicity could be severe.  Our review will ensure that you do not fall foul of the NMW legislation.