Welcome to Pendragon Consult

Our people are committed to our clients’ success, focused on helping them achieve a competitive advantage. We are collaborative yet challenging and will raise questions that others won’t

Consulting & Advisory services

We believe by doing what we do best, we are able to develop the practical strategies and processes that you need. We are consistently recognised for our insightful approach to complex problems and known for our in depth understanding of Onshore and Offshore Intermediaries legislation, IR35 and Off-Payroll legislation. Our commitment to compliance and best practice is unrivalled.

What makes us different?

Our team are industry specialists, with over 100 collective years of experience and who work tirelessly for our clients to ensure their contingent labour working practices are as safe as they can be; against an ever-changing backdrop of non- compliance, tax avoidance and legislative activity. 

Good judgement is the only course of action when it comes to Compliance. 

Pendragon Consult services are designed to assist agencies and end-client organisations mitigate risks when hiring off-payroll workers, contractors, gig workers freelancers and interims.

  • We provide up-to-date information on legislative changes as well as practical guidance on how to mitigate the impact on your organisations.
  • Our team half day workshops are delivered onsite or online
  • How to manage labour supply compliance in an everchanging legislative environment
  • Top Tips on what to look out for in non-compliant intermediaries and their solutions
  • End clients – how to check if you’re agencies are following the legislation (including Conduct Regulations and WTR)
  • Why asking for payslips from the Umbrella company is solving only have the problem of tax avoidance or non-compliance

Our expert team understand that agencies and end client users of contingent workers face a torrent of challenges and regulation that is why Pendragon Consult are here to assist.

Which areas do we consult on and provide support?

IR35 Advice & Assessment

IR35, and the Off-Payroll rules are regulations put in place by HMRC to combat “disguised employment” of contractors who provide their services to clients through an intermediary, such as a personal service company (PSC). Pendragon Consult provides a comprehensive set of services to assist end clients and agencies in complying with IR35 regulations.

Our team will help to translate the complexities and reduce the financial risks of the IR35 and Off-payroll regulations, ensuring all aspects of your supply chain are operating compliantly. Equipped with our exclusive IR35 assessment tool, our expert consultants are available to assess working practises and roles offered to end clients looking to use contractors working via Limited companies.

NMW Advice

The National Minimum Wage is the UK’s minimum pay ceiling – designed to protect as many low-paid workers as possible without damage to jobs or the economy. It is set annually on the basis of recommendations from the Low Pay Commission, an independent body of employers, unions and industry experts. If employers are found to have underpaid workers – the amounts that need to be repaid, including any penalties, can be significant. In extreme cases, non-compliance can lead to criminal prosecution, or court action by workers, but also to reputational damage by being publicly listed in the naming and shaming of non-compliant employers. Failure to comply can also result in costly Tribunal claims. Speak to our experts who can provide tailored advice and guidance to keep your business compliant.

Employment Status

Employers and employees must understand the employment status that apply to their engagements to ensure that the appropriate protections, such as the National Minimum Wage, holiday pay, and statutory rights, are in place.

Furthermore, the taxes that an individual and their employer pay are also affected by employment status. Our employment law experts can help identify employment rights specific to certain categories of workers across a range of industry sectors to ensure compliance.

SDC Assessment & Advice

Agencies end clients and contractors should be familiar with HMRC’s Supervision Direction or Control (SDC) standards, as it is employed to evaluate whether workers are covered by the “agency legislation.” Contractors typically recognise components of SDC because it is essentially a subset of the control test required under the IR35 legislation to determine employment status. Our expert team can provide tailored advice on SDC to ensure that you and your contractors follow the best practice when it comes to SDC. The same principles that are employed to staying outside IR35 may be utilised to staying ‘outside SDC’

AWR Agency Worker Regulations

You’re an agency worker if you have a contract with an agency but you work temporarily for a hirer. Agencies can include recruitment agencies, for example ‘temp agencies’. Umbrella companies are also required to adhere to AWR.

Agency Workers Regulations that came into force on 1 October 2011 and in October 2019 the guidance updated to reflect the repeal of the Swedish derogation, which came into force in April 2020 

You’re also an agency worker if you look for work through entertainment and modelling agencies.

You’re not an agency worker if you use an agency to find permanent or fixed-term employment. Check with the company that hired you.

Equal treatment

From the day you start work you have a worker’s employment rights. These rights are covered by the Employment Rights Act 1996

You also have the same rights as your permanent colleagues to use any shared facilities and services provided by your employer, for example:

a canteen or food and drinks machines

a workplace creche or mother and baby room

car parking or transport services, like a local pick-up service or transport between sites

Rights after 12 weeks

After 12 weeks in the job you qualify for the same rights as someone employed directly. This is known as ‘equal treatment’.

Your rights include:

‘equal pay’ – the same pay as a permanent colleague doing the same job

automatic pension enrolment

paid annual leave

How to count your 12 week period

Start counting your 12 week qualifying period from your first day at work.

You do not have to be at work for 12 weeks in a row – some types of leave count and there can be breaks.

Practical Advice and Training on Workforce Solutions

Pendragon Consult enables its clients’ to find cost effective engagement solutions, whilst maintaining the highest levels of compliance and best practice, thus making us invaluable to clients looking to Engage, Attract and Retain the very best skills within their contingent workforce, throughout the UK and globally

Pendragon Assess™ – IR35 assessment tool to provide a second opinion to CEST and bolster your evidence for “reasonable care”

Qualified and expert IR35 consultants to review your working practices and roles offered to contractors with Limited company’s (PSC’s)

Robust and compliant alternative solutions if the contract is assessed as inside IR35 see PEO and Umbrella

Helping to mitigate the risks when you outsource your IR35 compliance to Pendragon Consult

What are the Three Types of Employment Status?

A person’s employment status impacts what rights and employment protections they are entitled to at work. It also dictates the employer’s responsibilities. Thus employers must understand the many forms of employment status so that the appropriate one can be used at the time of hire.

Employees also need to understand their rights and duties. They may have documentation from the employer that indicates their employment status. However, how the employee and the organisation collaborate in practice will ultimately decide the employment status for employment rights purposes.

Employment Status

Is at the heart of both employment law and the tax system. It is the foundation of employment protections in the UK. Individuals and their employers have to know which employment status applies to their engagement to ensure the right protections are applied – from the National Minimum Wage and holiday pay and statutory rights, to unfair dismissal protection and redundancy.

Employment status also affects the taxes that an individual and the employer or engager pay. It is essential that individuals and their employers or engagers  know what rates of Tax and National Insurance contributions (NICs) are applicable to everyone in the company.

Workers

A person is classified as a ‘worker’ if they have a contract or other arrangement to perform work or services for money or a benefit, such as the promise of future opportunities, including a contract or future work. They only have a limited right to subcontract and send someone else to perform the work.

Workers do not work as part of their own limited company in an arrangement where the “employer” is actually a customer or client. They have to show up for work even if they don’t want to, and the employer must provide them with work as long as the contract lasts.

National Minimum Wage

Protection Against Wage Deductions

Paid Holidays and Rest Breaks

Working Less Than 48 Hours Per Week

Opt-out of Working More Than 48 Hours

Protection Against Unlawful Discrimination

Protection for Whistleblowers

Sick Pay, Parental Pay, and Maternity Pay

Statutory Sick Pay

Statutory paternity, maternity, adoption and shared parental leave and pay

Minimum end of employment notice periods

Option to request flexible working

Time off in the event of an emergency

Redundancy Pay (Statutory)

Employees 

An employee is a person who works under a contract of employment. In employment law, a person may be considered an employee. However, they may have a different status for tax purposes. Therefore, employers must determine each employee’s status under both employment and tax law.

They are required to work regularly unless they are on leave, such as vacation, sick leave, or maternity leave. They must work a minimum number of hours and expect to be paid for time worked. Generally, a manager or supervisor is responsible for their workload, dictating when and how a piece of work should be completed.

They are subject to the company’s disciplinary and grievance procedures and work on the company’s premises or at a place specified by the company. Their contract specifies redundancy measures. Although all employees are workers, employees have certain employment rights and obligations that do not apply to non-employees.

Self-Employed

An individual is self-employed if they own and operate their own business and are personally responsible for its success or failure. Self-employed people aren’t paid through PAYE and don’t have the same rights and obligations as employees. A self-employed person can work for an employer during the day and manage their own business in the evenings.

Since self-employed people are their own bosses, most employment laws do not apply to them. However, they still have health and safety protections, as well as discrimination protection in some situations. Their rights and responsibilities are defined by the terms of the contract they have with their client. Employers should look to see if a worker is self-employed in employment law as well as tax law.

Learn more about how Pendragon Consult’s scalable solution may help you understand your supplier requirements and support and drive your procurement strategy.

Employee Shareholder

An employee shareholder is a person who works for the employer and owns at least £2,000 worth of stock in the main or subsidiary company. They have many of the same rights as workers and employees when it comes to employment.

They also have the right to transfer of undertakings (TUPE) and collective redundancy consultation, which safeguards employees’ terms and conditions when the company is sold to a new owner.

Employers have the option of choosing more generous employment rights than those provided by law. Employee shareholders must pay tax on their purchases and sales of stock.

Employee shareholders do not receive the following Benefits:

Protection against unfair dismissal except for dismissal as a result of discrimination health and safety

Statutory redundancy pay

Option to request flexible working (apart from the two weeks after returning from parental leave)

Certain statutory rights to request time off for training

Preferred Supplier List Creation: Pendragon Consult Can Help

Evaluate

Start by evaluating your present suppliers and determining your most significant spend categories. To discover the right suppliers, define your requirements and take into account both your total business and the demands of different divisions.

Responsibility

You must also be wary of disregarding smaller businesses and your diversity responsibilities. Using a digital e-sourcing system to manage your favourite suppliers guarantees you have access to reliable supplier data so you can make informed decisions to maximise ROI.

High Standards

Umbrella companies and other service providers are expected to hold the same legal standards as recruiters and should always give a high level of service. However, choosing providers to suggest to your consumers can be tough when there are so many options.

Effectiveness

This is where Pendragon Consult PLS service comes in. We can help you create an extensive preferred list or review your current list to ensure maximum effectiveness.

Employment law experts and compliance specialists at Pendragon Consult can help you determine the right type of employment status to safeguard your rights and ensure compliance with tax and employment laws.