ECH4045 - Employer and Contractor's Role: Factsheets to Replace Codes of Practice

We operate with our customers under various Codes of Practice , which are constantly under review and being replaced by a series of factsheets.

Employer Compliance activity was conducted under COP3 which explained the purpose of the visit. This has now been replaced by a series of factsheets which amalgamate the contents of COP3 and IR109.

The factsheets explain different stages in the employer/contractor compliance check process.

EC/FS 1     Reviewing your records

is sent with the notification of a proposed compliance check and explains

• how the compliance check will be carried out
• the records to be made available for the compliance check
• that the employer or contractor will be treated in a fair, courteous and professional manner.

EC/FS 2     Reviewing your records (Large Employers)

is sent with to larger employers dealt with in Local Compliance Large & Complex & Individuals Teams and LBS where a customer manager is appointed.

See ECH7005 which includes the issue of ECR105 or opening letter and factsheet EC/FS 1 & 2.

EC/FS 3     What happens during and at the end of a compliance check

is either sent with EC/FS 1 or 2 or upon request and explains to the employer/contractor, that if something is found that is wrong

• how to correct errors
• how to claim refunds due
• how we recover underpayments
• advises of HRA and penalties
• invites the employer to pay on behalf of employees in certain circumstances
• explains about interest.

EC/FS 4     Penalties

is provided to the employer at the time a risk is confirmed or identified as an irregularity that suggests a penalty offence has been committed, or upon request. The factsheet explains

• a fixed penalty
• a maximum penalty of a set amount
• a tariff based penalty
• initial and daily penalties
• how we calculate penalties that are the maximum of the difference between the amount paid or returned and what it should be
• explains the abatement process
• advises of HRA (although this still should be discussed by the caseworker ( ECH8028)
• explains when we will charge a penalty.

EC/FS 5     Your Obligations

is issued when an employer/contractor or agent is being obstructive, or provided upon request. The factsheet explains

• the employer or contractors legal obligations to maintain certain records
• the appropriate legislation that requires them to produce records to an authorised officer for inspection
• where the records must be produced
• when the records must be produced
• the penalty implications of not producing records.

See also ECH7110 for guidance regarding obstructive employers and contractors.

All these factsheets provide information on

• our commitment
• putting things right
• customers with particular needs
• advisers and costs
• contacting us.

Complaints and putting things right

Previously any customer complaints were covered by COP1. This COP has also been replaced by a factsheet that explains

• how to complain to us
• how we handle complaints
• taking a complaint further
• making amends
• complaints about series misconduct by our staff

You should provide a copy of the factsheet

• to any employer or contractor who requests one or
• if the employer or contractor wishes to complain.

A copy can be obtained via the intranet A-Z index/complaints, external customers only/complaints team/factsheet C/FS.