Trending Now

Latest News

Archive News

Latest NewsAre end client contracts a clause for concern?
News of Crpl    

Three key terms to pay close attention to and what this type of contract means for your Recruitment Agency.

Whereas an end client would usually sign up to your agency’s terms of business when arranging a placement, it’s now becoming increasingly common for Recruitment Agencies to be asked to sign contracts directly with the end client themselves.

Make sure your insurance is up to scratch
Whilst there’s nothing wrong with signing a contract with the end client, it’s important that these new contract terms are carefully reviewed, to make sure that the insurance your agency holds is adequate, should things not go to plan whilst an individual is on their assignment.

In this situation, you might ask:

• Who accepts liability for the individual whilst on assignment – my agency or the end client?
• What limits of indemnity does my agency require?
• Is my agency sufficiently insured if a situation does arise and if not, what additional covers do we need?

As well as making sure that the insurance your agency holds is fit for purpose, it’s also vital to check that the contract doesn’t contain any particularly demanding or harsh terms that could impact your agency.

1. Acceptance of Liability – certain liability or indemnity clauses mean that a Recruitment Agency will accept all responsibility for the actions, errors and negligence of the personnel supplied, whilst they’re working on assignment.

The implications of signing a contract containing this clause could mean that your insurance may not provide the correct cover or if it does, at more of a cost to your agency. Also, if an accident occurs involving a placement you have provided (e.g. they’re seriously injured), you could be held legally liable.

2. Waiver of Subrogation Rights – this is a clause that prevents an insurer from recovering any losses back from the end client in the contract.

Maintaining your and your insurer’s rights of subrogation, is usually a condition of your insurance. It’s important to note that acceptance of a waiver of subrogation without your insurer’s prior written consent is a breach of your insurance terms.

3. Hold Harmless Agreement – this is a promise not to sue, even if the party who is “held harmless” caused or contributed to the accident or loss.

If your agency agreed to hold the end client ‘harmless’, this would mean that you couldn’t redirect any claims occurring to the end client, even if the end client were at fault. As a result, your insurer may pick up any claims that occur, thus having a large impact on your future renewal premiums.

Post On : 10-Feb-2020
Courtesy : Recruiting Times
Crpl News
What Are the Recent Trends in Human Resource Management?

We have witnessed a major recent trends in human resource management industry for the past few years. If you look back, everything from the hiring process, p...

Post On : 31-Jan-2020
Courtesy : Wifi Attendance
Crpl News
Current Trends in Recruitment Industry

Technology is changing the world and recruitment process is no different. Technology is changing the way a recruiter hires someone and is making the process ...

Post On : 03-Feb-2020
Courtesy : Hr Help Board
Crpl News
Confused between old, new income tax slabs? I-T Dept launches e-calculator to compare

Income Tax Department has launched an e-calculator for taxpayers to estimate tax liability if they opt for a new tax regime. Notably, those opting for t...

Post On : 07-Feb-2020
Courtesy : Business Today
Crpl News
One out of every 400 Indian developers can work on blockchain: Research

BENGALURU: Only one out of every 400 software developers in India can work on blockchain technology, which could potentially be the backbone of man...

Post On : 07-Feb-2020
Courtesy : ETCIO
Job alert
Job Alert!
Get Free Job Alerts on your Mobile and Email from Corporate Resourses
Fillup the form below
* Mandatory Fields
Name *
Email ID *
Mobile No *
Keyword(s) *
Location(s) *
Expected Salary *
No longer intrested for the service Click Here to Unsubscribe