How to employ staff in the UK

On its .gov.uk website, the UK government lists the following seven steps that must be taken in order to hire employees here;

  • Decide how much to pay someone (considering the UK’s minimum wage requirements)
  • Check your candidates legal right to work in the UK.
  • Check if you need to apply for a DBS check.
  • Get employment insurance (employers’ liability as a minimum)
  • Provide your employee with a written statement of employment.
  • Register as an employer with HM Revenue and Customs (HMRC).
  • Check if you need to automatically enrol your staff in a workplace pension.

All of this implies that you already have the company through which to hire them and banking resources that enable you to pay their wages and benefits in the UK. Some items on the list (such as step 7 – “check if you need to automatically enrol your staff in a workplace pension scheme”) will require further steps, such as the creation of an appropriate pension plan.

“Optional” stages like the implementation of employee benefit plans are not covered by the guide. Particularly during times of low unemployment, these additions are crucial to recruiting and keeping top talent. Benefits like private health insurance, gym membership or supplementary pension, are common features in a competitive compensation package.

Establishing a UK entity and hiring locally will be the best course of action for some companies. For example, it may be vital to your business to contract directly with a client from a UK entity. But there is an alternative which is quicker, less resource intensive and equally complaint. As a UK Employer of Record, PEO UK is able to hire on your behalf. We then take care of all seven steps in the guide listed below, and we’ll also give you advice on any extra benefits that might be appropriate for your situation. 

If you would like to discuss the topics discussed in this article, please call our friendly team on +44 207 863 2969 or email via hello@agilitypeo.com

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