MPs draft bill to close loopholes used by 'sharing economy' employers

Nov 22, 2017, 00:42
MPs draft bill to close loopholes used by 'sharing economy' employers

It wants clarified legislation to protect the legitimately self-employed and a new presumption of "worker by default" that would require companies to provide basic safety-net standards of rights and benefits to their workers, or prove that their working practices are genuinely reflecting of self-employment.

Employers that wrongly classify their workers as self-employed should be fined, two House of Commons committees proposed this week in what would amount to a major clampdown on the concept of false self-employment.

The Work and Pensions Committee and the Business Select Committee have drawn up a draft bill which would assume "worker by default", to make firms pay holiday and sick pay.

To view the full article, register now.

Just earlier this month it said it would fight on after losing its appeal against an employment tribunal ruling on the rights of Uber drivers.

The bill said the law around the gig economy should be tightened to stop companies using false self-employment status for "cheap labour and tax avoidance", to prevent the law being used to facilitate workers' exploitation for competitive advantage. "It is time to close the loopholes that allow irresponsible companies to underpay workers, avoid taxes and free ride on our welfare system", he said.

"The two Committees are today presenting the Prime Minister with an opportunity to fulfil the promise she made on the steps of Downing Street on her first day in office, with a draft Bill that would end the mass exploitation of ordinary, hard-working people in the gig economy", said Frank Field, chair of the Work and Pensions Committee.

"The Bill would put good business on a level playing field, not being undercut by bad business".

MPs have put forward plans to close numerous loopholes in the law that have allowed the gig economy to flourish. It also suggests "punitive fines" for those who have previously been found to have broken employment law and "naming and shaming" for non-accidental breaches by businesses and supply chains.

The Independent Workers Union of Great Britain, which brought the case against the food delivery company, said the judgement shows that riders "are not satisfied with their current terms and conditions and want worker rights", including holiday pay and minimum wage. They also call for more resources to be allocated to the Director of Labour Market Enforcement.

The bill also called for loopholes that enables agency workers to be paid less than permanent employees doing the same job to be closed.

A United Kingdom government spokeswoman said the government recognises that "the labour market is not working for everyone".

Rachel Reeves, the Labour MP who chairs the business committee, said taxpayers and workers were picking up the burden of the "flexibility" offered by Uber, Deliveroo and others like them. But we recognise that the labour market is not working for everyone which is why we commissioned Matthew Taylor to review modern working practices to ensure our employment rules and rights keep up to date.

YOU MIGHT ALSO LIKE
  • Mugabe steps down after 37 years as Zimbabwe's leader

    Mugabe steps down after 37 years as Zimbabwe's leader

    Mr Mugabe's downfall brings the curtain down on an extraordinary political career. Leader of the opposition People's Democratic Party Tendai Biti told Newsday Mr.
    Samsung might have just leaked their

    Samsung might have just leaked their "foldable smartphone"

    Dubbed Samsung Galaxy Experience Program , the trial will kick off in South Korea on November 21 and it will end on November 27. It is believed that Samsung will introduce the most radical smartphone design yet in 2018, which boasts a foldable body.
    Turkish capital bans LGBTQ cinema, exhibitions

    Turkish capital bans LGBTQ cinema, exhibitions

    This indefinite time period is yet another example of how civil society in Turkey is being prevented from functioning effectively. Unlike in many Muslim countries, homosexuality is not a crime in Turkey , but there is widespread hostility to it.
  • Trump calls for Lynch to be suspended as anthem row returns

    Trump calls for Lynch to be suspended as anthem row returns

    The President of the United States has taken several shots at players who choose to sit during the national anthem. Oakland played the New England Patriots in Mexico on Sunday. "Attendance and ratings way down", Trump wrote.
    Nationals release 2018 Spring Training schedule

    Nationals release 2018 Spring Training schedule

    Washington will host its first home game in at The Ballpark of the Palm Beaches on Sunday, Feb. 25, against the Atlanta Braves. It officially became time to look forward to 2018 when Major League Baseball announced its exhibition schedule on Monday.
    Slowdown of Earth's Rotation May Trigger Surge in Earthquakes in 2018

    Slowdown of Earth's Rotation May Trigger Surge in Earthquakes in 2018

    Bilham said it's hard to pinpoint why there's a link between rotation and earthquakes , but the earth's core might be to blame. While the changes don't affect us directly, some scientists think recent slowdowns could be a sign of big earthquakes to come.
  • Nigeria police say at least 20 killed in mosque bombing

    Nigeria police say at least 20 killed in mosque bombing

    He said, "Today's attack appears to be yet another example of Boko Haram's continued unlawful disregard for human life". Their violent insurgency, which began in 2009, has claimed more than 20,000 lives and has displaced millions of people.
    Paxton Lynch to start against Raiders

    Paxton Lynch to start against Raiders

    Osweiler played even worse in his place and lost all three games he started. Quarterback play has been a liability for the Broncos all season.
    Lebanon FM refuses to attend Arab summit on Iran

    Lebanon FM refuses to attend Arab summit on Iran

    President Michel Aoun, has refused to accept Hariri's resignation and accused Saudi Arabia of holding him against his will. Both Iraq and Lebanon were represented at the meeting by senior diplomats, not their foreign ministers.
  • Is Gwyneth Paltrow Consciously Coupling with Brad Falchuk? Engagement Rumors Are Swirling

    Is Gwyneth Paltrow Consciously Coupling with Brad Falchuk? Engagement Rumors Are Swirling

    In March of 2014, Paltrow and Coldplay frontman Chris Martin infamously made a decision to " consciously uncouple ". Celebrity magazine Us Weekly says Brad Falchuck and Gwyneth Paltrow are getting married.
    About LaVar Ball vs Donald Trump

    About LaVar Ball vs Donald Trump

    Ball appeared on CNN last night to speak on the topic and it was as mindless as you'd imagine. He said Trump didn't travel to China specifically to get his son released.
    McMaster Mocked Trump's Intelligence In a Private Dinner

    McMaster Mocked Trump's Intelligence In a Private Dinner

    Catz and McMaster met for dinner in July in Washington, D.C., and discussed a range of national security issues. A spokesperson for the National Security Council pushed back against BuzzFeed's account of the July dinner.
popular