Worried about how your relationship might change with your agency now Agency Worker Regulations (AWR) has come into play? The PCG have compiled a set of letter templates for members to help maintain those agency relationships while providing assurance that that they are out of scope of the troublesome new legislation.
Prepared by legal experts Egos the template, known as the “AWR comfort letter”, has been created to reaffirm to agencies that you are in business on your own account making you ‘out of scope’ of the regulations, therefore ensuring that agencies continue to use your services.
Since the AWR came into force at the beginning of the month, agencies now have a legal obligation to find out whether individuals are covered by AWR or not. Many agencies are providing contractors with forms to confirm that they are in business on their own account. The PGC comfort letter acts in the same way but gives freelancers more control over what they are signing and should be used as an alternative to the agency disclaimer.
The document is provided by PCG as two letters, with associated notes for your reference only. One of which is sent to the client and the other goes to the agency. All you have to do is fill in the blanks and post the letter along with your contract, which should also state that you are in business on your own account.
Contracts are an essential document for freelancers and it is important to make sure you use them correctly. Not only do they determine the wants, needs and expectations of both parties, but they also act as a legal framework and provide a formal definition of the business relationship between the freelancer and agency.
The template comfort letter can be found on the PCG website which also publishes an extensive guide offering advice on the AWR.