KID Compliance in 2025: Why Agencies Are Still Failing, 5 Years On
Key Information Documents are meant to boost transparency, helping workers understand:
- Who’s paying them
- When they’ll get paid
- What deductions apply
- And how options like PAYE vs umbrella stack up
But five years on, the Employment Agency Standards (EAS) is still finding basic non-compliance. So what’s going wrong?
Top 4 KID mistakes recruitment agencies still make
1. Sending KIDs Too Late
They need to go out before any services are delivered—not once a placement is found. If you’re waiting until the assignment’s in place, you’re already out of compliance.
2. Missing or wrong info
KIDs have strict rules about what they must contain – and what they can’t. Common slip-ups:
- Missing pay or deductions info
- Overloading with marketing
- Wrong figures entirely
3. Letting Umbrella Companies Handle It
Umbrellas can help with figures, but your recruitment agency is still responsible for delivering an accurate KID. Delegating this? That’s a compliance red flag. The legal responsibility remains with the recruitment agency.
4. Forgetting to Update KIDs
Switched from umbrella to PAYE? Changed providers? You need to update and reissue the KID. No ifs, no buts.
How to improve your KID compliance and avoid EAS sanctions
A KID should not just be viewed as an admin exercise. Getting this right can build trust and make things clearer between you and your workers, which is super helpful for avoiding or sorting out any bumps along the road.
- Use the EAS template, but tailor it accurately
- Keep a record of when each KID was issued
- Update promptly with any change in employment structure or deductions
- Treat the KID as a professional representation of your agency
A well-crafted KID not only fulfils your legal duty, it builds trust, clarity, and professionalism.
Need help with Key Information Documents or contractual compliance?
If you’re unsure about:
- Whether your KIDs are up to scratch
- What counts as a “material change”
- Or how to handle umbrella relationships…
We’ve got you covered. Lawspeed helps agencies stay on the right side of:
- KID and Conduct Regs
- IR35, AWR, and contract law
- The ever-changing recruitment legal landscape
Call 01273 236 236 or email info@lawspeed.com to talk it through.