The future world of work – inquiry launched

The Government announced this week that it will be holding an inquiry focusing on the “rapidly changing nature of work, and the status and rights of agency workers, the self-employed, and those working in the ‘gig economy’”.

The inquiry will also look at issues such as low pay and poor working conditions for people working in non-traditional employee roles. The latest statistics report that a record number of people – 4.79 million – are self-employed (July–August 2016), while 1.66 million people are employed on a temporary basis.

Terms of reference include the status and rights of agency workers, casual workers, and the self-employed (including those working in the ‘gig economy’), for the purposes of tax, benefits and employment law.

The Association of Recruitment Consultancies (ARC) has welcomed the news as an opportunity to highlight the current issues regarding worker status, also covered within the ARC 2016 Manifesto.

Adrian Marlowe, ARC Chairman, commented: “It is wrong to lump agency workers into the same mould as ‘gig workers’, who should be perceived as a different category. ‘Gig’ is clearly open to abuse as the model relies on an individual having a self-employed status that somehow allows gross payment to the individual whilst not affording any rights or protections. We question whether that is legally correct.”

The Freelancer and Contractors Association (FCSA) also responded to the announcement, stating concerns that the Government’s new inquiry will constrain agency workers and impose red tape on genuine self-employed workers, thus hindering the growth of the UK’s flexible workforce.

Julia Kermode, Chief Executive of FCSA, said: “Whilst last week’s Uber verdict shone a spotlight on employment, rights and self-employment and sought to protect workers who are being exploited it is going to be very difficult to make sweeping changes without disrupting the entire flexible workforce. Many people choose to become self-employed and do not want or expect employment rights, nor do they feel exploited. 

“I would urge the Committee responsible for this inquiry to tread very carefully and find a balance to protect vulnerable workers, penalise unethical employers but allow the UK’s flexible workforce to thrive.”