Limited Company is opting out of The Conduct Regulations

When a Limited Company is opting out of the Conduct Regulations – there are rules which apply. The Conduct Regulations apply to all supplies of temporary workers, except in the case of limited company contractors who have chosen to opt out of them (though importantly, an opt out is not permitted if the individual is to be supplied to work with anyone under-18 or in need of care or attention by reason of age, infirmity or some other reason i.e. is a vulnerable person).

There are rules which need to be followed:

1. The opt out must be given before the introduction and supply of the limited company contractor to the client (Conduct Regulations 32(9) and (11)).
2. The agency must tell the client if the limited company contractor opts out of the Conduct Regulations.
3. The limited company contractor may subsequently withdraw the opt out by giving further notice to the agency but this will not take effect until the individual stops work in his/her current assignment. The agency will then advise the client that the limited company contractor has withdrawn the opt-out and that the Conduct Regulations apply to any future assignments (until such time as another valid opt out is given).