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Government should end bogus gig economy jobs, claims parliamentary report

Government should end bogus gig economy jobs, claims parliamentary report 0

Companies operating in the gig economy and relying on supposedly self-employed workers are denying workers their rights and freeloading on the welfare state, according to a new report from The Commons Work and Pensions Committee. The report cites what it calls “appalling practices” in its inquiry into self-employment and the gig economy. The committee said the numbers of self employed had grown to 5m, or 15 per cent of all UK workers in recent years, fuelled in large parts by the firms like Uber and Deliveroo, whose business models rely on a largely self-employed workforce. In its report the Work and Pensions Committee says Government must close the loopholes that are currently allowing “bogus” self-employment practices, which are potentially creating an extra burden on the welfare state while simultaneously reducing the tax contributions that sustain it.

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What the budget meant for the workplace; experts have their say

What the budget meant for the workplace; experts have their say 0

BudgetAs has been the case with recent UK Government Budget announcements, Chancellor Philip Hammond’s first Budget addressed a number of issues related to the workplace, technology and infrastructure. It was the first Budget delivered in the post Brexit era and this clearly informed many of the announcements made. While most of the headlines over the past 24 hours have related to the changes to the tax status of the self-employed as a way of raising around £2 billion, the announcements also covered a broad range of topics related to the workplace, HR, technology and property sectors and have drawn an immediate response from key figures in the sector. These include nearly half a billion pounds relief on the vexed question of business rates reforms, a new focus on technical qualifications and a greater investment in 5G and other forms of digital infrastructure. We’ll be having our own say about the implications of the Budget in the near future, but in the meantime, here’s a rundown of the key announcements and the reaction of industry experts.

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Almost half of over 55s will work past retirement age, but need bosses support

Almost half of over 55s will work past retirement age, but need bosses support 0

 

A majority of older workers (55+) in the UK are bracing themselves to continue working until they are 70 years old, but three quarters of employees don’t think employers are doing enough to support them, according to new research by the CIPD. In a survey of more than 1,600 UK employees, more than a third (37 percent) believed that they will have to work past the widely accepted retirement age of 65, a figure which jumps to 49 percent among workers over 55 years old. Among those who predict they will work past 65, the average age they expect to actually retire is 70. The most common reasons for employees wanting to work past 65 the belief it will keep them mentally fit (32 percent), followed by a desire to be able to earn enough money to continue to enjoy themselves. However, the research has also found that many employers aren’t doing enough to support older workers in the workplace. Just one in four (25 percent) employees believe that their employer is prepared to meet the needs of workers aged 65 and over, demonstrating how much work organisations need to do in order to prepare for the increased numbers of older workers in the workplace.

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We need to rethink everything we know about self-employment and the gig economy

We need to rethink everything we know about self-employment and the gig economy 0

The rise in self-employment is being led by workers in relatively ‘privileged’ high-skilled, higher-paying sectors such as advertising and banking rather than the gig economy. Their considerable tax advantages over employees, rather than new technology and the gig economy, are central to the rapid growth in self-employment, according to a new analysis published by the Resolution Foundation. Self-employed workers in the larger but slower growing ‘precarious’ sectors that have dominated the recent public debate, enjoy a much lower tax advantages over employees but still miss out on important pay and employment rights. The analysis shows that 60 per cent of the growth in self-employment since 2009 has been in ‘privileged’ sectors, despite them making up just 40 per cent of the self-employed. The fastest growing sectors have been advertising (100 per cent growth), public administration (90 per cent), and banking (60 per cent). The remaining 40 per cent of the growth in self-employment has come in more ‘precarious’ sectors, such as construction and cleaning. The Foundation notes that despite the focus on Uber in recent years, the sector that includes taxis is actually only up 7 per cent since 2009, a third of the 22 per cent growth in self-employment up as a whole.

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Gig economy represents a race to the bottom for many because of client behaviour

Gig economy represents a race to the bottom for many because of client behaviour 0

Gig economy

For many people, the gig economy represents a race to the bottom, with a large number of freelancers asked to work for free by entitled clients on the vague promise of future work, breeding anxiety and disillusionment. That is the key finding of a new study by Approve.io which found that half of freelancers and self-employed creatives had been asked by clients said that work had caused them anxiety this year with three quarters citing client behaviour as the primary cause. More →

While politicians squabble, here’s what the Budget meant for the workplace

While politicians squabble, here’s what the Budget meant for the workplace 0

Bash streetStrange as it may seem now, there was a Budget last week. We’d planned to produce a report on it once the dust had settled but given that whatever dust had originally been kicked up has now been swept away by a political storm, it’s only now we feel able to offer some perspective a few days out. As ever these days, the budget touched on a number of aspects of the workplace, sometimes hitting the mark and sometimes suggesting politicians don’t yet understand how people work. There was the usual stuff about rates and commercial property but also plenty to digest about the freelance economy, productivity, new technology, flexible working legislation and the current, often faltering attempts to develop wealth and infrastructure as well as the 21st Century creative and digital economy in places other than London. There’s plenty to digest here and plenty of people have already had their say, so a chance to grab a coffee and take all or some of it in.

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Four year surge in the numbers of over-50s and over-65s in UK workforce

older UK workforceWe keep saying it but forget all the talk about Gen Y, the UK workforce is actually aging and becoming more diverse. New research from Saga shows that the number of employees over the age of 65 has increased by over a third over the last four years and the numbers of those between 50 and 64 has also increased – by nearly a tenth. The proportion of over 65s within the workforce is up from 3.4 percent to 3.6 percent over the same period but there have also been increases in employment in younger age groups meaning the workforce is more diverse. There are now 1.09 million over 65s still in work and around 8 million in the 50-64 age group. The Saga Monthly Employment report, published in partnership with the Centre for Economics and Business Research, also found that older age groups are now just as economically active as younger demographics

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CIPD publishes manifesto on how next Government could shape future of work

CIPD manifesto on how next Government should shape the future of workA sustainable recovery and successful future economic performance depends on future governments adopting policies that address fundamental skills and productivity issues, as well as looking at other agendas which will actively shape the future of work. This is according to the CIPD ‘Manifesto for Work,’ published today, which calls on the UK’s political parties to focus on the key issues facing employers and the workforce in the run up to the General Election 2015. Amongst a set of proposals, the HR body is calling on the Government to take a “good practice” approach to employment regulation and policy by supporting the creation of a Workplace Commission, with the aim of helping employers raise standards of people management. CIPD chief executive Peter Cheese, says a better focus and understanding of the changing nature of work, the requirements and needs of the workforce, and the changing workplace will be needed to meet the future challenges. More →

CIPD calls for a budget to address decline in UK productivity

UK productivity requires budget boostThe CIPD has urged the Chancellor to focus on delivering a “Budget for Productivity” when he delivers his 2014 Budget on 19 March. The employment body has today put forward a package of proposals which call for labour market inclusion and the development of more productive, inclusive, and engaging workplaces. It is calling for a fundamental review of UK skills policy, together with a new focus on the workplace, the nature of jobs for the future, and how skills are being utilised. This, the CIPD argues, is critical if the necessary leap in productivity is to be delivered to boost real wages. A recent CIPD report  found that already weak UK productivity has worsened as a result of a slow-down in job turnover during the recession and an extraordinary run of hiring that has preceded the recent return to growth. More →

Legal update – Employment Law changes ahead in 2014

Employment Law changes ahead in 2014

Some of the most hotly debated employment law issues from last year; including flexible working, workplace wellbeing and the contractual rights of employees look set to make more headlines this year, because 2014 is shaping up to be another year of significant change in UK employment law. While the timetable is subject to amendment, currently the Government is intending to introduce a number of revisions. The key employment law events and cases to watch out for in 2014 will include changes to TUPE, flexible working, flexible parental leave, employment tribunal procedures, redundancy consultation, Acas conciliation, calculation of holiday pay and post-employment victimisation;  which we list below in the date order in which they are proposed. More →

Britain is no longer a nation of shopkeepers, but it is divided by the work we do

Britain is no longer a nation of shopkeepers, but it is divided by the work we do

An analysis of workforce data suggests that the work people do in different parts of the UK varies enormously, especially compared to LondonFollowing last week’s news that the fastest growing job category in the US isn’t necessarily the one you’d expect, a new report from HR software provider Ciphr, based on ONS data, claims to identify which jobs are the most disproportionately common in each part of the UK. The report analyses the latest regional employee estimates for over 370 occupations to find out which work roles (with at least 5,000 full-time employees) appear to be more concentrated, or over-represented, in some places more than others. More →

Employee wellbeing advocate shortlisted for Veuve Clicquot Bold Awards

Employee wellbeing advocate shortlisted for Veuve Clicquot Bold Awards

Francesca Brady, founder of AirRated who advocates for employee wellbeing and cleaner air in the workplace has been named as a finalist in Veuve Clicquot’s Future AwardsFrancesca Brady, founder of AirRated who advocates for employee wellbeing and cleaner air in the workplace has been named as a finalist in Veuve Clicquot’s Future Awards, the international awards programme celebrating businesswomen. Previous winners include Professor Dame Sarah Gilbert, the inventor of the Oxford AstraZeneca COVID vaccine and Jo Whitfield, CEO of Co-Op Food. Francesca’s work highlights the dangers of a polluted workplace, as research shows the link between pollution, cognitive decline, dementia and poor employee wellbeing and mental health. More →