SYSC 22.8A Groups and outsourcing

1. (1)

   1SYSC 22.8A.1R means that a firm recruiting someone from another member of its group is not required to request a reference from the other where the group has centralised records or alternative measures in place to ensure sharing of relevant information between its members.

2. (2)

   The recruiting firm should be satisfied that the centralised or alternative measures ensure relevant information is made available as part of the fit and proper assessment of the recruit.

1If:

1. (1)

   a firm (A) appoints someone (P) to a certification function or approved person position;

2. (2)

   A obtains a reference from an ex-employer (B);

3. (3)

   later P transfers to a certification function position or an approved person position with an SMCR firm in A’s group (C);

4. (4)

   B’s reference is:

   1. (a)

      addressed to all firms in A’s group; or

   2. (b)

      otherwise drafted so that it is clear that C may rely on it; and

5. (5)

   C does not need to ask for the reference to be reissued or amended, taking account of SYSC 22.7.6G and SYSC 22.7.7G;

C may be able to rely on that reference without asking B to give another one.

1If:

1. (1)

   a firm (A) is thinking of employing someone (P);

2. (2)

   P is employed by a group services company (D) that is not a firm;

3. (3)

   P (in their capacity as an employee of D) performs a function or service for a firm (B) in the same group as D such that P is also an employee of B; and

4. (4)

   A intends to appoint (P) to a position that entitles A to obtain a reference from B;

then:

1. (5)

   A should ask both B and D for a reference;

2. (6)

   B is obliged to give the reference if A asks it to;

3. (7)

   B should ask D to provide it with the information needed to provide a reference in accordance with this chapter;

4. (8)

   D may give a reference but (as it is not a firm) it is not obliged to; and

5. (9)

   D and B may give a single joint reference.

1SYSC 22.8A.4G also applies where:

1. (1)

   D is not in the same group but has seconded P to B; and

2. (2)

   P (in their capacity as an employee of D) performed any function or services for B such that P was also an employee of B.

1If:

1. (1)

   a firm (A) is thinking of appointing someone (P) to a position that entitles A to obtain a reference from another firm (B); and

2. (2)

   P was an employee of other members of B’s group as well as of B;

then:

1. (3)

   A should ask all the group members that employed P for a reference;

2. (4)

   B should give a reference if A asks it to;

3. (5)

   P’s employers in that group (including any that are not firms) may give a single joint reference; and

4. (6)

   if the reference is being provided on a consolidated group basis, it should be clear what information is relevant to which employer within the group.