I have a client whose problem seems to throw up multiple issues and I am having difficulty making any sense of it. Any suggestions would be appreciated.

Client longish term JSA claiamnt with passported HB & CTB.
Employment Adviser pursuades her that she will be better off working as a carer. Adviser assures client that she can claim JSA for non-working periods. Adviser agrees that the Job is only viable if she can claim JSA for periods when not working. Client is very sceptical and complains that she would have done this work long ago if she had known this.
Client is now apparently an agency worker treated as self employed. Works 2 weeks on & 2 weeks off as live in carer - on call 24hrs. There appears to be no formal contract. Work hours are not specified just full care duties during day and full night cover. She is paid a daily rate.

She enjoys the job but is horrified to find that her claims for JSA in her 2 week off periods are all rejected (reasons unspecified)and as expected - she is now worse off (after expenses)than when on JSA.

I am stuggling to establish how her work /income should be assessed for JSA purposes and to come up with answers to following questions.

- Does she have entitlement to JSA? (for non-working periods or for average income over 4wk cycle or for self employed earnings)
- Does she have entitlement to HB & CTB?
- If no entitlement does she have any redress for being given the wrong advice by JC adviser?
- Does she have any options for giving up job and returning to JSA?

Hi Derek. Just spoke to your colleague. Given that the issue might be a bit lengthy to discuss, have given her my tel no for our advice line today and tomorrow. Call me and see what we can come up with.

I am sure together with the input of other colleagues (rightsnet users) we can come up with a solution.

Here's my two pennyworth.

Self=employed people are just as entitled to HB and CTB as employees. It would be usual to calculate the income of a self-employed person on an annual basis, based on the accounts; but clearly there are problems in the first year of self employment. It's the gross amount, less any tax, national insurance, half the contributions to a pension, and any expenses incurred wholly and exclusively in the performance of the job (such as travelling expenses). If the employment has recently begun then you average over such a period as is likely to give a pattern.

Is she rally self-employed? Has she registered with HMRC for income tax purpises and to pay class 2 national insurance contributions? Not that this is conclusive: it could be argued that whatever you call it she is actually an employee. There's a lot of case-law around this very difficult area.

The big problem is really the 16 hour work rules for JSA, plus availability for work if she is not willing to give up the work to take up another offer. Her hours will almost certainly fall to be averaged under Reg 51 as her work has a regular cycle of 2 weeks on, 2 weeks off.

Whether the adviser wrongly advised her would depend on exactly what advice was given. Did the adviser specifically point her at this rather unsatisfactory job? I would be surprised, but you may know better. Of course she can work part-time, but if she is to go on getting JSA she has to be available for full-time work if it pops up. The only thing I did wonder was whether there has been some confusion with child-minding which has special rules.

"treated as" self employed always worries me.

Working Tax Credit?