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Tier 2 General Contract employment query

Only for the UK Skilled Worker visas, formerly known as Tier 2 visa route

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createrk
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Tier 2 General Contract employment query

Post by createrk » Sat Jun 18, 2011 12:23 pm

Hi Everyone,

I am currently in UK in Tier 2 ICT visa and its expiring this December. I have contacted an umbrella company who said that they would be sponsoring me for tier 2 general and i have to get a contract job on my own (Or they say they would help me to get a job but not guarenteed)

I am having niche skills and i know i can get a job but my question here is i would be contacting a recruitment agency and they are going to place me in a contract job with a client.

So i would be paid from recruitment company and would be on their payroll. They are not my sponsor for visa.

Now my question is this legal? My sponsor is Umbrella company but my recruitment agency is going to pay me (Possibly they would pay to umbrella company?). If this is case, is it worth taking all risks associated with this?

Also after getting the Tier 2 General visa, when i contact recruitment agency, should i tell them that i am having a sponsor and they need to pay to umbrella company rather than to me directly?

Please advise

Thanks.

geriatrix
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Re: Tier 2 General Contract employment query

Post by geriatrix » Sat Jun 18, 2011 7:47 pm

createrk wrote:I have contacted an umbrella company who said that they would be sponsoring me for tier 2 general and i have to get a contract job on my own.

i would be paid from recruitment company and would be on their payroll. They are not my sponsor for visa.

Now my question is this legal?
If the umbrella company (sponsor) and the recruitment company (employer) are mutually exclusive business entities with no relationship (e.g. - one is the business unit of the other, one owns the other, etc.), then no.
Life isn't fair, but you can be!

createrk
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Re: Tier 2 General Contract employment query

Post by createrk » Sat Jun 18, 2011 11:45 pm

sushdmehta wrote:If the umbrella company (sponsor) and the recruitment company (employer) are mutually exclusive business entities with no relationship (e.g. - one is the business unit of the other, one owns the other, etc.), then no.
I don't think both umbrella company and the recruitment agency know each other. Infact i haven't told the umbrella company which recruitment agency i am going to contact to get a job. If your facts are true and if its not legal, then i don't know if there are any recruitment agency who can help me out directly here sponsoring me..It has become very difficult nowadays w.r.t immigration at UK...

James.Dunlop
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Re: Tier 2 General Contract employment query

Post by James.Dunlop » Mon Jun 20, 2011 3:02 pm

Hi

Generally you must be employed and paid by the sponsoring company.

As a sponsored employee you can not be assigned to a standard recruitment-company style bodyshop contract. Your employer is limited in what they can do with you; client assignments must be genuine outsourcing arrangements and not disguised employment by an end client.

FYI, if you are on a Tier 2 ICT

a) You need to leave the UK and re-apply for entry clearance under Tier 2 (General)

b) As more recent Tier 2 (ICT) visas do not lead to settlement, you might wish to bring forward your new Tier 2 (General) status.

If you would like assistance, you should feel free to send your CV to Tier2jobs@workpermit.com


Kind regards


James
James Dunlop

mailto:james.dunlop@jdunlop.com

createrk
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Post by createrk » Mon Jun 20, 2011 7:02 pm

Hi James,

Thanks for that. Say i will be working for the sponsored company (I will be paid by them) but i will take contract from recruitment company and they would inturn pay my umbrella company (My sponsor).Will that be a legal one?

My umbrella company is a A rated sponsor and they have separate division in IT consultancy and i would be part of that company.

Please advise.

Thanks

ArgieBee
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but what salary are they ging to pay you...

Post by ArgieBee » Tue Jun 21, 2011 1:46 pm

The umbrella company is going to take you on as an employee and sponsor you. When they apply for the CoS, then they will ned to state the salary that they will pay you and that must be at or above the appropriate rate.

If they sponsor you and are relying on you to find contract work via agencies, then I suspect they will not pay you unless you are working. This could create a number of problems e.g. if your contract ends.

James.Dunlop
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Re: Tier 2 General Contract employment query

Post by James.Dunlop » Tue Jun 21, 2011 2:10 pm

Hi

The situation may be legal. It will depend on the detail. However, from your earlier post, in which it was suggested you would be sponsored before your initial assignment was identified, you need to be very careful.

ArgieBee also makes a good point. Once you are employed, an employer will normally have to terminate your Tier2 visa and your job if they cease to be able to pay you. There are exceptions to this, but the underlying point is that job (and thus visa) security is contingent on you having something economically worthwile to do. A key part of the change from the old work permit scheme to Tier 2 was a vasty increase in the obligations of a sponsoring employer, to prevent individuals entering the UK as sponsred staff and 'disappearing into the woodwork' rather than doing the job for which they were sponsored.

workpermit.com knows most of the players in this sector, so feel free to PM me or send an email to Tier2jobs@workpermit.com with the details of the potential sponsor
James Dunlop

mailto:james.dunlop@jdunlop.com

nehamansha
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Switching from ICT

Post by nehamansha » Mon Jul 25, 2011 5:17 pm

Hi
I am currently on Tier 2 ICT .I am planning to apply for Tier 2 General with a new firm. I am currently in UK (since Oct 2010 ) under Tier 2 ICT visa .

I understand that for me to apply for Tier 2 General visa I have to go back to India and apply for visa from there .

My questions :
1) Do I need to resign from my current firm to apply for Tier 2 with a new firm
2) If I get my Tier 2 general visa does it cancel my Tier 2 ICT visa .or do I get some grace period to work for my old company before I start my new job .
I understand I will have to travel back under new visa and if I have not resigned from my old firm still I will be working on new visa will it be illegal ? How can I make sure I am doing anything illegal

Appreciate help
Thanks

James.Dunlop
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Post by James.Dunlop » Mon Jul 25, 2011 8:02 pm

Hi

You do not have to resign from your old employer to apply for a new tier 2, BUT as you will have to apply out of country, the new approval once granted would normally replace the old approval and so you would not be able to return to the UK and keep working for your old firm.

For those able to change jobs in country, there is more room for flexibility, but its not easy for those like you making the jump from ICT to General

I hope this helps

Kind regards


James
James Dunlop

mailto:james.dunlop@jdunlop.com

nehamansha
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Post by nehamansha » Mon Jul 25, 2011 8:13 pm

Thanks for the reply

So will it not be possible for my old firm to let the UKBA know change of my visa status ?

onlooker
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Re: Tier 2 General Contract employment query

Post by onlooker » Fri Jul 29, 2011 10:19 pm

It can be legal to be on a Tier 2 visa from umbrella company and work on-site for another company as a contractor, as long as you do not work for 24 months or more for the same end client.

Regarding payments, umbrella bills the end client monthly and pays you a salary (and possibly bonus) from that money. They can make the salary relatively low and accomulate funds so they can still pay you when you are not contracting.

In some cases, the end client may not be happy with this (some banks are not), but generally it is OK.


[quote="createrk"]Hi Everyone,

I am currently in UK in Tier 2 ICT visa and its expiring this December. I have contacted an umbrella company who said that they would be sponsoring me for tier 2 general and i have to get a contract job on my own (Or they say they would help me to get a job but not guarenteed)

I am having niche skills and i know i can get a job but my question here is i would be contacting a recruitment agency and they are going to place me in a contract job with a client.

So i would be paid from recruitment company and would be on their payroll. They are not my sponsor for visa.

Now my question is this legal? My sponsor is Umbrella company but my recruitment agency is going to pay me (Possibly they would pay to umbrella company?). If this is case, is it worth taking all risks associated with this?

Also after getting the Tier 2 General visa, when i contact recruitment agency, should i tell them that i am having a sponsor and they need to pay to umbrella company rather than to me directly?

Please advise

Thanks.[/quote]

jack_daniel
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Re: Tier 2 General Contract employment query

Post by jack_daniel » Sat Jul 30, 2011 11:52 am

onlooker wrote:It can be legal to be on a Tier 2 visa from umbrella company and work on-site for another company as a contractor, as long as you do not work for 24 months or more for the same end client.

Regarding payments, umbrella bills the end client monthly and pays you a salary (and possibly bonus) from that money. They can make the salary relatively low and accomulate funds so they can still pay you when you are not contracting.

In some cases, the end client may not be happy with this (some banks are not), but generally it is OK.

createrk wrote:Hi Everyone,

I am currently in UK in Tier 2 ICT visa and its expiring this December. I have contacted an umbrella company who said that they would be sponsoring me for tier 2 general and i have to get a contract job on my own (Or they say they would help me to get a job but not guarenteed)

I am having niche skills and i know i can get a job but my question here is i would be contacting a recruitment agency and they are going to place me in a contract job with a client.

So i would be paid from recruitment company and would be on their payroll. They are not my sponsor for visa.

Now my question is this legal? My sponsor is Umbrella company but my recruitment agency is going to pay me (Possibly they would pay to umbrella company?). If this is case, is it worth taking all risks associated with this?

Also after getting the Tier 2 General visa, when i contact recruitment agency, should i tell them that i am having a sponsor and they need to pay to umbrella company rather than to me directly?

Please advise

Thanks.
Hi ,
I just want to ask a question which might be of interest to you also.

In the same conditions you mentioned (Umbrella Comp + Tier 2) is it possible to open your own company and get the salary credited to your Comp A/c hence paying less tax wot you had to pay.
share your pros and cons on it.

Although I'm quite doubtful if u can open your company for Contacting in Tier 2 visa.
Pls share your thoughts on this.

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