This Section amends section 13 of the Employment Agencies Act 1973 to expand the scope of "employment business" as defined by that Act. It replaces the current subsection (3).
	The expanded definition covers other types of businesses (not currently included) that participate in arrangements under which persons are supplied by their employer to work for other persons (such as so-called "umbrella companies", payment intermediaries that typically act as the employer of the workers that they pay, whether or not an additional business may supply those workers).
	The amended subsection (3) provides that, under the provisions of the Employment Agencies Act 1973, "employment business" means the business of participating in employment arrangements.
	Subsection (3A) provides a definition of "employment arrangements". "Employment arrangements" means arrangements under which persons who are (or are intended to be) in the employment of a person are (or are intended to be) supplied to act for, and under the control of, another person in any capacity.
	Subsection (3B) provides a definition of "participating in" in relation to employment arrangements. Participating in "employment arrangements" means doing any of the following in connection with the arrangements:
being an employer of the persons who are (or are intended to be) supplied under the arrangements;
paying for, or receiving or forwarding payment for, the services of those persons, in consideration of directly or indirectly receiving a fee from those persons;
supplying those persons (whether or not under the arrangements);
taking steps with a view to doing anything mentioned in (a) to (c).
	Subsection (3B)(b) refers to a "fee" which is defined in section 13(1) of the Employment Agencies Act 1973 as including any charge however described.
	The requirement in subsection (3B)(b) for the processing of payment for the services of persons to be in consideration of receiving a fee is intended to prevent payroll companies from being considered to participate in employment arrangements.
	Whether or not the processing of payment for the services of persons under subsection (3B)(b) is in consideration of receiving a fee will depend on the substance of the arrangements as a whole. It will, for example, not matter that the fee is also paid in consideration of additional services.
	A fee under subsection (3B)(b) may be paid by way of a deduction from an amount otherwise due to them for their services, by a person who is supplied (or intended to be supplied).
Part 2: Other Matters Relating to Employment Employment businesses Section 36: Extension of regulation of employment businesses