Self employed worker rights has been a hot topic at our business briefings this month.
There has been some debate in recent weeks over what employment rights a person may have if they are wrongly classed as ‘self-employed’. This has hit headlines in recent cases including Uber and its drivers. The use of genuinely self-employed workers can be beneficial as it may provide flexible ways of working that are more suited to a particular type of business.
There are now 3 different definitions of self-employed – one for tax, one for employment law and one for pensions. Confused?
Employers who wrongly class their workers as self-employed could face a problem down the line as evidence of businesses using ‘self-employment’ to avoid tax has been highlighted in Theresa May’s inquiry into modern ways of working.
The following questions could help establish whether they are self-employed for employment law purposes:
- Does the worker use your equipment on the job?
- Can the worker refuse the work you offer?
- Does the worker work for others too?
- What does the wording of their contract say? Self-employed workers should be provided with a contract for services, not a contract of employment
If you have any issues regarding self-employed workers, why not find out more at the next Citation business briefing near you.