How important is to have a written agreement

8 December, 2022

Wise aims to ensure your business is legally compliant by following internal guidelines and legal requirements across both Employment and Tax laws in the UK.

When we review a Service Level Agreement (SLA), also referred to as a Contract for Services, certain key areas should be considered when determining Employment Status for Tax and Employment Law purposes. 

Having the appropriate SLA is the best way to guarantee that your business is compliant. This helps all parties engaged in the agreement understand their obligations and rights, establishes both parties’ status and roles from the start of the engagement and promotes a good relationship between the self-employed driver and the company engaging them.

An SLA, or Contract for Services, is a contract that specifies the type of service that will be performed by a subcontractor and the level at which it will be performed. Implementing this will allow both parties to agree and acknowledge the terms of their position and the company rules whilst also establishing what is expected from a self-employed contractor and what their responsibilities are. 

The downside of not having a correctly structured contract is the potentially mistaken assumption that one of the parties may be an employee or worker, thereby breaching their employment status. 

Common characteristics of a Service Level Agreement:

A Contract for Services must mention and clearly state the nature of the business and the engagement and also explain what is expected from a self-employed driver and your company.

In a Contract for Services where the recipient is self-employed, the main aspects of being self-employed should be covered to satisfy the employment status of the contractor, and these are: control, mutuality of obligation, and substitution. 

  • Control: Your subcontractor’s method of working is entirely their own.  Your company should not attempt to supervise, direct, control or retain the manner in which the subcontractor (or any substitute utilised by the subcontractor) performs the services. Nonetheless, the subcontractor agrees to cooperate with the company and its client in respect of working hours and security to ensure the smooth delivery of the services. 
  • Mutuality of Obligation: Your company shall not be obliged to provide any subcontractor with any minimum amount of services, and the subcontractor will not be obliged to accept or perform any such works or provide services. The subcontractor is free to decline to provide their services at any time for any reason.  
  • Substitution: The subcontractor shall have the right to use a substitute where they are unable or unwilling to perform their services. Where a substitute or hired assistant is used by the subcontractor, there shall be no contractual or financial relationship between the company and the substitute. The self-employed individual is solely responsible for arranging payments to the substitute to ensure that such person(s) possesses the necessary skills, qualifications, and licences to perform the services.

At Wise, we have a compliance team that will review your contract for services and either assist you in making the contract compliant or provide you with a new one – for FREE.

If you’re interested in learning more about how Wise can help you ensure your logistics business is compliant, click here.

Other blogs you might find interesting.

What is National Insurance?

19 April, 2024

Employee Spotlight – Jay

18 April, 2024

The correct way to write invoices

12 April, 2024

The Wise App turns three

8 April, 2024

4 steps for seamless new user onboarding in the logistics industry

5 April, 2024

How to simplify the onboarding process in private hire

5 April, 2024

Wise wins ‘Best Onboarding Software Solutions Company 2024 – UK’

3 April, 2024

Private hire software that reduces admin

22 March, 2024

Four reasons private hire businesses should be using document management software

22 March, 2024

Employee Spotlight – Jodie

18 March, 2024

The importance of correct onboarding in private hire

15 March, 2024

Streamlining private hire operations with onboarding software

11 March, 2024

Ladies Day at the West-End

7 March, 2024

Wise walks for The Prince’s Trust

4 March, 2024

Onboarding process for new job roles

1 March, 2024

What is onboarding?

26 February, 2024

The consequences of your business not being compliant

23 February, 2024

Legal vs compliance. What’s the difference?

19 February, 2024

How to onboard remote employees

16 February, 2024

5 compliance mistakes you may not know you’re business is making

13 February, 2024

Contracts: Five mistakes to avoid

9 February, 2024
Retain Drivers Feature

Want to offer workforce perks? Here are 5 great ideas

5 February, 2024

Employee Spotlight – Tom

5 February, 2024

3 must have policies your private hire business needs

29 January, 2024

How to get onboarding right

29 January, 2024

What does onboarding involve?

26 January, 2024

Why is onboarding important?

22 January, 2024

How onboarding works

19 January, 2024

What is employee onboarding?

15 January, 2024

Tech ensuring compliance in private hire services.

11 January, 2024

A guide to onboarding with the Wise last-mile delivery platform

11 January, 2024

Reflecting on a Remarkable 2023: Wise’s Year in Review

11 December, 2023

Stay on Top of Important Dates with Expiry Reminder Software

8 December, 2023

Wise awarded ‘Most Innovative Company of the Year’

7 December, 2023

Employee Spotlight – Chloe

4 December, 2023

Wise Charity Bake Off for Pancreatic Cancer UK

4 December, 2023

Perks Mobile

1 December, 2023

Preparing for 2023 peak deliveries

1 December, 2023

The best document expiry software

30 November, 2023
wise benefits

4 ways to retain drivers when you can’t increase their pay

27 November, 2023

Driver onboarding checklist for peak

24 November, 2023

What contracts do I need to onboard delivery drivers?

20 November, 2023

The best ways to retain delivery drivers in 2023

17 November, 2023

Employee Spotlight – Evie

16 November, 2023

How to stop drivers dropping off in the onboarding process

13 November, 2023
Contract For Services Review

4 most important documents to onboard delivery drivers

6 November, 2023

How to effectively manage peak period as a parcel delivery service

3 November, 2023

Navigating the costing pressure in the last-mile industry

23 October, 2023
dan sitting with a colleague

Wise attends Amazon Ignite 2023

16 October, 2023

What is an onboarding process?

13 October, 2023

What does it mean to be FCA Regulated?

13 October, 2023
great place to work

Wise achieves Best Place To Work third year in a row

12 October, 2023
App User

Payment software for courier businesses

6 October, 2023
Expiring & Re-uploading Evidences

How to simplify and save time on payroll

4 October, 2023

Improve Driver Retention: How to Boost Take-Home Pay

21 September, 2023
Set Job Roles and Employment Journeys

How the Wise app works: Wise Invoicing

18 September, 2023

The impact of 24/7 Mental Health Support

31 August, 2023

4 benefits of document management software in logistics

31 August, 2023

Why is compliance important in the last-mile sector?

29 August, 2023

Streamline your driver onboarding process with onboarding

25 August, 2023

Preparing new delivery drivers for the Christmas Rush

22 August, 2023

Employee Spotlight – Gavin

22 August, 2023

Preparing for Peak with Effective Driver Onboarding

18 August, 2023

Employee Spotlight – Adina Bogdan

18 August, 2023

Even More Benefits Of Being A Self-Employed Courier

11 August, 2023

Recapping Wise’s Unforgettable 2023 Client Events Calendar

11 August, 2023

How the Wise app is improving self-employed driver wellbeing

11 August, 2023

5 top job boards to recruit courier drivers in 2023

11 August, 2023

The impact of Digital GP services for self-employed drivers

11 August, 2023

How to attract new clients to your delivery business

11 August, 2023

How Wise’s driver perks package can reduce turnover rates

11 August, 2023

Best practices for recruiting and retaining new drivers

11 August, 2023

3 steps to a perfect driver onboarding process in 2023

11 August, 2023

Why is a good driver onboarding process important?

11 August, 2023

Elevating Last-Mile Logistics with Customisable Evidence Collection

11 August, 2023

Everything you need to know about IR35

27 July, 2023

Submitting your UTR number

27 July, 2023

Epic Clash: Clients vs Employees Football Match

3 July, 2023

4 Key Trends in the delivery industry so far in 2023

26 June, 2023

What is onboarding in recruitment?

22 June, 2023

What are the perks of being a self-employed driver?

21 June, 2023

Driver onboarding: top tips for a quick start

14 June, 2023

How to access mental health support through the Wise App

1 June, 2023

What are the perks of being a self-employed driver?

26 May, 2023

Four ways to optimise delivery operations

24 May, 2023

5 self-employed driver recruitment and retention strategies to boost fleet performance

22 May, 2023

Mental Health Awareness Week 2023

15 May, 2023

Updates from Wise

12 May, 2023

Reduce driver drop-off with an industry-leading onboarding platform

11 May, 2023

Three tips to speed up your self-employed driver onboarding

10 May, 2023

How Wise is helping to transform couriers’ self-employment experience

8 May, 2023

 Six things you need to know about an SLA

5 May, 2023
SLA auto re-sign

Experience easy self-onboarding with the Wise App

5 April, 2023

Stay on the road with 24/7 roadside assistance.

4 April, 2023

How to access Digital GP through the Wise App

3 April, 2023

Unlock exclusive savings with the Wise App

1 April, 2023

HMRC nudges self-employed workers for undeclared tax

23 February, 2023

Employee spotlight – Becky

8 February, 2023

How to onboard a new employee

5 February, 2023

Employee Spotlight – Anthony Tabone

15 December, 2022

Why should you streamline your workforce management?

13 December, 2022

How businesses are getting ready for peak

18 November, 2022

Amazon Ignite Connect Expo

19 October, 2022

Birmingham Tech Week 2022

17 October, 2022

Strengthen your compliance

10 October, 2022

IFLY with Wise

7 October, 2022

We’re a Best UK Tech Workplace

28 September, 2022

Employee Spotlight – Joana

14 September, 2022

How to boost your recruitment and retention rates

6 September, 2022

Onboard new self-employed drivers in just 10 minutes

19 August, 2022

One year in our HQ!

15 August, 2022

Attract new users with Wise

12 August, 2022

The Wise Journey

11 August, 2022

Wise Client Golf day at the Belfry Hotel & Resort

9 August, 2022

Why is the onboarding process so important?

3 August, 2022

Self-employed health: Is it something you’re neglecting?

1 August, 2022

Talk to Us Month 2022

25 July, 2022

The cost of living crisis – How Wise helps the self-employed

6 July, 2022

The Wise App launches exciting savings perk

1 July, 2022

Employee Spotlight – Brad Davies

1 June, 2022

How Wise is helping to transform business owners’ self-employment experience

18 May, 2022

Who are Securitax?

6 May, 2022

The importance of compliance

5 May, 2022

What does HM Revenue and Customs (HMRC) mean to the self-employment industry?

5 May, 2022

Supervision, direction and control (SDC) – explained.

21 April, 2022

Mutuality of Obligation – explained

20 April, 2022

The right to substitute – explained

19 April, 2022

How to set up your own limited company

14 April, 2022

What is the difference between a sole trader and a limited company?

5 April, 2022

Why be self-employed? The benefits

22 March, 2022

12 things you need to know about Unique Taxpayer Reference Numbers

16 March, 2022

How businesses are using the Wise onboarding system to save time and money 

11 March, 2022

Supporting the Princes’ Trust Future Steps Challenge

28 February, 2022

Five ways to ensure you have a happy and healthy workforce

23 February, 2022

Why is there a high turnover rate for self-employed drivers

16 February, 2022

The nation’s view on self-employment

14 January, 2022

How to become a self-employed courier driver

5 January, 2022

Checking in on Solihull Moors Football Club

3 January, 2022

How to use the Wise App 

10 December, 2021

The Big Wise 2021 Review

3 December, 2021

Wise scoops West Midlands Tech Award

17 November, 2021

Wise recognised with Armed Forces Covenant Award

10 November, 2021

Pathways charity announcement

19 October, 2021

The Great Wise Bake Off

14 October, 2021

A sneak peek into the brand new Wise office

29 September, 2021

Wise recognised as Great Place To Work ™

22 September, 2021

The numbers behind the logistics industry

23 July, 2021

Kicking off an exciting new partnership

1 July, 2021

Wise goes up a gear with FHO racing BMW motorrad sponsorship

14 June, 2021

Addressing workforce issues in the logistics industry

11 June, 2021

The big Wise glossary of terms

9 June, 2021

Wise – new system & mobile app launch

7 June, 2021

Interested in the Wise software?

 Fill out the form to speak with a member of our sales team.