Thinking of leaving or switching payroll solution?
We are sorry to see you leave.
Before you go, we wanted to ensure that you are fully confident in your new solution, as HM Revenue & Customs are targeting tax avoidance schemes created by Umbrella companies. If you are found to have been paid by one of these schemes you could owe the HM Revenue & Customs over £100,000 in fines.
You’re in safe hands with People Group Services. We’re 100% UK-owned and operated, with decades of experience in delivering award-winning compliant contractor solutions. We’ve repeatedly proven our contractor focussed culture – being the first intermediary to deliver furlough payments is a recent example.
Before you make that final decision have you considered?
People PAYE/PEO or People Umbrella is your contractual employer, and you should therefore consider the rights and benefits that you may lose by changing to a new employer.
You should never feel forced to move – it’s your right and you could lose some or all the below instantly and have to start again.
Continuation of employment
Continuous employment is when you work for one employer without a termination and depending on the length of service gives certain rights such as statutory pay including maternity, sick pay even redundancy pay. If you change employer, you will lose any length of service that you have accrued.
Pension qualifying periods
A new employer will be legally required to auto enrol you into a pension scheme. It’s likely that they will defer enrolment for the first 12 weeks resulting in a three month break in your contributions. Alternatively, if you decide to opt out of the pension scheme you will have to follow the process of being enrolled and then opting out.
Statutory pay qualifying periods
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Statutory sick pay
The period for which SSP is due is different depending on whether you have had 3 months’ continuous employment therefore you may well miss out on entitlement if you start working with a new employer and become unwell within the first three months
Statutory maternity pay
You will have had to work with a new employer for at least 26 weeks to qualify for statutory maternity pay.
My Wallet
Benefits
You will lose the benefit of your employee reward scheme upon termination of your contract.
Tax code
As your current employer we hold your main tax allowance. When you start with a new employer it may take some time for your tax code to update and therefore you pay more tax for a period.
Borrowing for a
mortgage/finance
It is possible to get a loan as a new employee, but it will be harder compared to someone who has been in the same job for a period of time. This is simply because you won’t have the evidence of steady, dependable income and employment in your current role that lenders prefer to see.
While lenders look at a range of factors when considering your mortgage/loan application, your employment situation will be high on the list. Many banks and loan providers will require you to be employed full-time, meet a minimum income threshold and to have been in your job for a certain length of time to be eligible.
Is there anything else to consider?
Does your new employer (pay solution) have any accreditations?
People Group Services are accredited by Professional Passport the largest independent assessor of payment intermediary compliance. Ensuring robust compliance across all areas of applicable legislation as well as complete transparency.
However, if you still feel you wish to move then we will assist you in every way we can to make it as smooth as possible.
You have the right to choose who you are employed by.
Some, if not all, of the rights that you will lose by being required to transfer may be protected if TUPE (Transfer of Undertakings Protection of Employment Regulations) apply.
