17 November 2023
Employment Agency Standards (EAS) guidance for providers of interpreting services
This guidance aims to help providers of interpreting services to comply with the requirements of the Employment Agencies Act 1973 (the Act) and Conduct of Employment Agencies and Employment Businesses Regulations 2003 (the Conduct Regulations) – both as amended.
The Employment Agency Standards Inspectorate (EAS) is the state regulator for the private recruitment sector and is responsible for seeking compliance with this legislation. They check for compliance by investigating complaints made by agency workers and carrying out inspections of recruitment agencies.
What is an interpreting service?
For the purposes of this guidance, EAS considers an interpreting service is a “service provider” which seeks to introduce interpreters to clients that require linguistic services.
Where the arrangement is that:
· the service provider has access to linguists who have registered with the service provider, or the linguist has made themselves available to provide linguistic services
· the service provider agrees to provide specialist interpreting or other services (linguistic) to the client
· the service provider identifies a suitable linguist to provide the specialist interpreting or other services (linguistic) to the client
· the linguist agrees to carry out the work
· the service provider provides the specialist linguistic services to the client using the linguist
Such service providers are likely to be provided by a person or business acting either as an employment agency or as an employment business.
Anyone setting up a new interpreting service or running an existing one should consider seeking their own independent legal advice on their obligations under the act and the conduct regulations.
Is my interpreting or translation service an employment business or employment agency?
There are 2 kinds of recruitment agency defined under the act. These are an employment business and employment agency.
An interpreting service acting as an “employment business” will be where the service provider:
· has a contract between them and a linguist
· has a contract between them and the client
· supplies the linguist to the client to act under the direction and control of the client or others
· arranges to pay the linguist for the services they have provided to the client, either directly or through a third party
An interpreting service acting as an “employment agency” will be where the service provider:
- introduces a linguist to a client for that linguist to become directly employed by the client to carry out work under contract with that client, albeit often for a short period of time
- the client arranges to pay the linguist directly for the services they have received
Under the act it is illegal for an employment agency to make arrangements to pay a work-seeker’s remuneration arising from work that they have carried out. Only an employment business can arrange to pay work-seekers.
EAS view on interpreting services falling within scope of the act
In our view, most service providers that supply specialist interpreting or other (linguistic) services will likely be acting as an employment business as they contract with linguists and pay them for work that is carried out.
In this model the linguist is supplied to work for the client on a temporary assignment whilst under contract with the service provider. Either the client or another third party will dictate what is translated (and also most likely when and where) for the duration of the assignment.
Where a business service includes translating documents, the document translating service is unlikely to fall under the act.
General compliance with EAS legislation
Employment businesses and employment agencies must comply with the act and conduct regulations. Both employment businesses and employment agencies may find the following guidance useful:
· detailed guidance on complying with the act and the conduct regulations
Consequences of non-compliance
The act and the conduct regulations set out minimum standards that employment businesses and employment agencies need to comply with.
EAS is willing to work with and enter discussions with businesses and support them in getting things right and to comply with the law.
Failure to meet these minimum standards, however, may result in enforcement action by EAS.
This can include prosecution and if a person is found guilty of an offence, they are liable on conviction to a fine.
It is also open for EAS, where an offence has been committed, to consider a Labour Market Enforcement Undertaking (for a period of up to 2 years). If an undertaking cannot be agreed or, once in place, is not complied with, EAS can apply for a Labour Market Enforcement Order (for a period of up to 2 years) through the courts which may be granted upon conviction. If a person fails to comply with the order, they could be fined or imprisoned for up to 2 years.
The Secretary of State can also consider applying for a prohibition order against a person from carrying on or being concerned with the carrying on of an employment agency or employment business for up to a maximum of 10 years on the grounds of misconduct or unsuitability.
Further information
If you have any queries on the legislation, or if you are wondering whether your business activity falls within scope, please contact EAS directly by emailing eas@businessandtrade.gov.uk or by telephone on 020 7215 4477.
This note of general guidance, and any further information provided by EAS, may be used to help gain understanding of the legislation and is correct as of November 2023. However, they cannot provide definitive answers to individual queries and are not intended to be relied upon in any specific context or as a substitute for seeking your own independent legal advice on specific circumstances, as each case may be different.
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