Umbrella company contractors might be interested to learn that the Prime Minister is being urged to launch an inquiry into self-employed couriers being paid below minimum wage.
In a recent report carried out by The Guardian, which looked into the earnings, hours and expenses of couriers for Hermes, it was found that many self-employed workers were being paid well below the national living wage, and the reason why the company has been getting away with this is due to the fact that contractors are not covered by the national living wage legislation.
Frances O’Grady, the general secretary of the Trades Union Congress is among many who are calling for reform. She said, “This isn’t just one company. The rise of bogus self-employment is hitting people’s incomes and job security across the country.
“Common sense would tell you that these people deserve the pay and security of regular employees. The law should be reformed to ensure that people working in these conditions get the rights they deserve. This is the kind of working practice we want to see shrinking, not growing.”
With recent reports showing that there are now a record 4.8 million people who are now working under some form of self-employment in the UK, it’s about time that this issue – which is unlikely to be found entirely in the courier sector – is investigated in order to give contractors basic rights with regards to pay.
Daniele Cantello is an Contract Manager for Contractor Umbrella Ltd, one of the UK’s Most Respected Umbrella Companies. Learn more about Daniele on Google.
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