Agency worker law
Encyclopedia
Agency worker law refers to a body of law which regulates the conduct of employment agencies and the labour law
rights of people who get jobs through them. The typical situation involves the person going to an employment agency and then the employment agency sending the person to an actual employer for proper work.
called for the establishment of public employment agencies in their place. To prevent the abusive practices of private agencies, they were to be fully abolished or at least tightly regulated. In most countries, they are legal but regulated.
Probably inspired by the dissenting judgments in a United States Supreme Court case called Adams v. Tanner
, the International Labour Organization
's first ever Recommendation was targeted at fee-charging agencies. The Unemployment Recommendation, 1919 (No.1), Art. 1 called for each member to
The Unemployment Convention, 1919
, Art. 2 required instead the alternative of
In 1933, the Fee-Charging Employment Agencies Convention (No.34)
formally called for abolition. The exception was if the agencies were licensed and a fee scale was agreed in advance. In 1949, a new revised Convention (No.96)
was produced. That kept the same scheme but secured an ‘opt out’ (Art. 2) for members that did not wish to sign up. Agencies were an increasingly entrenched part of the labor market. The United States did not sign up to the Conventions. The latest Convention, the Private Employment Agencies Convention, 1997
(No.181) takes a much softer stance and calls merely for regulation.
(Civil Code) on the law of leasing goods or finance, the agency relationship is seen as a triangular arrangement, with different obligations on each side. The worker is an employee of the agency only. The contract between the agency and the end-employer is termed as a hire of labour. Between the worker and the end-employer there is no contract. There is only a statutory obligation to give equal treatment in terms and conditions of work.
, which required licensing until 1994. There is an exception, for employment agencies working in the agricultural, shellfishing and food packing sectors, under the Gangmasters (Licensing) Act 2004
.
Labour law
Labour law is the body of laws, administrative rulings, and precedents which address the legal rights of, and restrictions on, working people and their organizations. As such, it mediates many aspects of the relationship between trade unions, employers and employees...
rights of people who get jobs through them. The typical situation involves the person going to an employment agency and then the employment agency sending the person to an actual employer for proper work.
History
The International Labour OrganizationInternational Labour Organization
The International Labour Organization is a specialized agency of the United Nations that deals with labour issues pertaining to international labour standards. Its headquarters are in Geneva, Switzerland. Its secretariat — the people who are employed by it throughout the world — is known as the...
called for the establishment of public employment agencies in their place. To prevent the abusive practices of private agencies, they were to be fully abolished or at least tightly regulated. In most countries, they are legal but regulated.
Probably inspired by the dissenting judgments in a United States Supreme Court case called Adams v. Tanner
Adams v. Tanner
Adams v. Tanner, 244 U.S. 590 , is a US Supreme Court case, which held that a Washington state law that prohibited employment agencies was unconstitutional.-Facts:...
, the International Labour Organization
International Labour Organization
The International Labour Organization is a specialized agency of the United Nations that deals with labour issues pertaining to international labour standards. Its headquarters are in Geneva, Switzerland. Its secretariat — the people who are employed by it throughout the world — is known as the...
's first ever Recommendation was targeted at fee-charging agencies. The Unemployment Recommendation, 1919 (No.1), Art. 1 called for each member to
"take measures to prohibit the establishment of employment agencies which charge fees or which carry on their business for profit. Where such agencies already exist, it is further recommended that they be permitted to operate only under government licenses, and that all practicable measures be taken to abolish such agencies as soon as possible."
The Unemployment Convention, 1919
Unemployment Convention, 1919
Unemployment Convention, 1919 is an International Labour Organization Convention.It was established in 1919:Having decided upon the adoption of certain proposals with regard to the "question of preventing or providing against unemployment",......
, Art. 2 required instead the alternative of
"a system of free public employment agencies under the control of a central authority. Committees, which shall include representatives of employers and workers, shall be appointed to advise on matters concerning the carrying on of these agencies."
In 1933, the Fee-Charging Employment Agencies Convention (No.34)
Fee-Charging Employment Agencies Convention, 1933 (shelved)
Fee-Charging Employment Agencies Convention, 1933 is an International Labour Organization Convention.It was established in 1933:Having decided upon the adoption of certain proposals with regard to fee-charging employment agencies,......
formally called for abolition. The exception was if the agencies were licensed and a fee scale was agreed in advance. In 1949, a new revised Convention (No.96)
Fee-Charging Employment Agencies Convention (Revised), 1949
Fee-Charging Employment Agencies Convention , 1949 is an International Labour Organization Convention.It was established in 1949, with the preamble stating:...
was produced. That kept the same scheme but secured an ‘opt out’ (Art. 2) for members that did not wish to sign up. Agencies were an increasingly entrenched part of the labor market. The United States did not sign up to the Conventions. The latest Convention, the Private Employment Agencies Convention, 1997
Private Employment Agencies Convention, 1997
Private Employment Agencies Convention, 1997 is an International Labour Organization Convention.It was established in 1997, with the preamble stating:...
(No.181) takes a much softer stance and calls merely for regulation.
European Union
A new directive has been proposed since 2002 to regulate the agency relationship. It promised equal pay for work of equal value, after six weeks work. It has not yet passeed out of draft mode.Germany
In Germany the Arbeitnehmerüberlassungsgesetz (Employee Hiring Law of 1972) regulates the agency relationship. It Following the provisions in the Burgerliches GesetzbuchBürgerliches Gesetzbuch
The Bürgerliches Gesetzbuch is the civil code of Germany. In development since 1881, it became effective on January 1, 1900, and was considered a massive and groundbreaking project....
(Civil Code) on the law of leasing goods or finance, the agency relationship is seen as a triangular arrangement, with different obligations on each side. The worker is an employee of the agency only. The contract between the agency and the end-employer is termed as a hire of labour. Between the worker and the end-employer there is no contract. There is only a statutory obligation to give equal treatment in terms and conditions of work.
United Kingdom
The UK's main piece of legislation falls under the Employment Agencies Act 1973Employment Agencies Act 1973
Employment Agencies Act 1973 is a United Kingdom Act of Parliament and part of a wider body of UK agency worker law. It regulates the conduct of employment agencies which recruit and manage temporary and permanent labour. It applies to approximately 17,000 employment agencies operating in the UK...
, which required licensing until 1994. There is an exception, for employment agencies working in the agricultural, shellfishing and food packing sectors, under the Gangmasters (Licensing) Act 2004
Gangmasters (Licensing) Act 2004
The Gangmasters Act 2004 is an Act of the Parliament of the United Kingdom that regulates the agencies that place vulnerable workers in agricultural work, and the shellfish collecting and packing industries . It is the most recent plank of UK agency worker law...
.
United States
- Adams v. TannerAdams v. TannerAdams v. Tanner, 244 U.S. 590 , is a US Supreme Court case, which held that a Washington state law that prohibited employment agencies was unconstitutional.-Facts:...
- In Ribnik v. McBride, 277 US 350 (1928) the Court struck down a similar New Jersey law attempting to regulate agencies, Justices Stone, Brandeis and Holmes dissenting. This is probably no longer good law.
- Doubt was placed on the leading dicta of Adams v. TannerAdams v. TannerAdams v. Tanner, 244 U.S. 590 , is a US Supreme Court case, which held that a Washington state law that prohibited employment agencies was unconstitutional.-Facts:...
in Olsen v. State of Nebraska 313 US 236 (1941) and Lincoln Union v. Northwestern Co., 335 US 525 (1949) 535. In the latter, Mr Justice Black, said that Adams v. Tanner was part of the "constitutional philosophy" which struck down minimum wageMinimum wageA minimum wage is the lowest hourly, daily or monthly remuneration that employers may legally pay to workers. Equivalently, it is the lowest wage at which workers may sell their labour. Although minimum wage laws are in effect in a great many jurisdictions, there are differences of opinion about...
s and maximum working hours.