People Group Services Limited Company Number: 11570329

Transparent Pay & Deductions Policy

Purpose

The purpose of this policy is to ensure that all workers engaged via People Group Services Ltd (“PGS”) receive clear, accurate, and fully transparent information regarding their pay and any deductions applied.

This policy is designed to:

• Eliminate hidden or misleading deductions
• Ensure full compliance with UK employment and tax law
• Protect workers from unfair pay practices
• Provide agencies and MSPs with complete visibility of pay structures

Scope

This policy applies to:

• All workers paid through PGS payroll or umbrella services
• All recruitment agencies and intermediaries
• All Managed Service Providers (MSPs) and end clients

Policy Statement

PGS operates a full transparency model, ensuring that:

• Every element of pay is clearly explained
• All deductions are lawful, justified, and visible
• No costs are concealed within pay calculations

Workers must always be able to understand:

How their pay is calculated, what is deducted, and why.

Regulatory Compliance

This policy aligns with:

• Employment Rights Act 1996 (right to itemised payslips)
• National Minimum Wage Act 1998
• Conduct of Employment Agencies and Employment Businesses Regulations 2003 (Key Information Documents)
• Guidance issued by HM Revenue & Customs

Pay Structure Transparency 

PGS ensures that all workers are provided with a clear breakdown of:

Assignment Rate

The total rate agreed between the agency and end client.

Employment Costs

Clearly identified employer costs including:

• Employer National Insurance Contributions
• Apprenticeship Levy (where applicable)
• Pension contributions

The worker’s taxable earnings after employer costs.

All deductions required by law, including:

• PAYE tax
• Employee National Insurance
• Student loan repayments (if applicable)

The final amount payable to the worker.

Where applicable, PGS’s margin is:

• Clearly disclosed
• Agreed in advance
• Not hidden within pay calculations

PGS strictly prohibits:

• Hidden deductions
• Misrepresented employer costs
• Deductions that reduce pay below statutory thresholds without lawful basis
• Disguised remuneration practices

No deduction will be applied unless it is:

• Lawful
• Transparent
• Communicated in advance

Key Information Document (KID) Compliance

PGS ensures that:

• A Key Information Document is issued prior to engagement
• All pay illustrations are accurate and representative
• Any changes to pay structure are communicated promptly

This supports compliance with agency regulations and protects all parties in the supply chain.

PGS ensures that:

• Holiday pay is clearly identified as either:
  • Accrued, or
  • Rolled-up (where lawful)
• Workers can access and understand their holiday entitlement and balances

PGS provides:

• Clear onboarding explanations of pay structure
• Ongoing access to payslips and breakdowns
• Support for worker queries regarding pay and deductions

All communication is:

• Plain English
• Accurate
• Timely

Agency & MSP Visibility 

PGS provides agencies and MSPs with:

• Transparent rate breakdowns
• Access to reporting (subject to data protection controls)
• Assurance that no hidden deductions exist within the supply chain

Audit & Record Keeping

PGS maintains records of:

• Pay calculations
• Deductions applied
• KIDs issued
• Worker communications

These records are:

• Securely stored
• Available for audit
• Retained in accordance with statutory requirements

Payroll Team

Responsible for accurate and transparent calculations

Compliance Team

Responsible for monitoring adherence to this policy

Directors

Responsible for overall accountability

Any breach of this policy may result in:

• Immediate corrective action
• Disciplinary measures
• Termination of agency or supplier relationships
• Notification to HM Revenue & Customs where required

PGS will:

• Regularly review pay transparency practices
• Update processes in line with legislative changes
• Enhance worker-facing tools and reporting

This Transparent Pay & Deductions Policy ensures that People Group Services Ltd:

• Provides complete clarity to workers
• Eliminates hidden costs and ambiguity
• Protects agencies and MSPs from compliance risk
• Upholds the highest standards of payroll transparency

It reinforces PGS’s position as a trusted, compliance-led payroll provider and supports our commitment to:

“Compliance Without Compromise.”

 

Declaration

This Policy is approved by the Board of Directors of: People Group Services Limited Company Number: 11570329

Last updated: 23rd March 2026