The well-publicised case of Pimlico Plumbers came to a conclusion on 13 June 2018, when the Supreme Court upheld the earlier decisions of the Employment Appeal Tribunal and the Court of Appeal in ruling that the plumbers Pimlico engaged were not self-employed, but ‘workers’ entitled to national minimum wage and paid annual leave. This follows the equally high profile case of the Uber drivers earlier in the year when it was held, on different facts, that the drivers were also workers and not self-employed.
The law in this area has been reviewed by the Taylor Committee which is due to report to the government shortly and it is expected that reforming legislation will follow in the next year.
In the meantime, businesses are left trying to determine whether the arrangements they enter into with individuals will result in them being classified as an employee, a worker or genuinely self-employed.
Any business operating a self-employed model should seriously consider taking legal advice on the status of the individuals they engage or face the prospect of large back dated claims for national minimum wage and holiday pay further down the line.
For more information on how we can help with Business Employment legal issues, click here.