Bogus self-employment occurs when workers are told they are self-employed when the legal tests would likely define them as employees. This phenomenon is made more common by the lack of consistency and clarity around the definition of self-employment: employment and tax law take different approaches. Tackling bogus self-employment will help the government by ensuring it receives the tax and National insurance it is due; it will help responsible businesses who are undercut by rivals; and it will ensure that workers get the basic protections they are legally entitled to, such as the National Minimum Wage and holiday pay.
Using bogus self-employed people could put your business at serious risk from claims at Employment Tribunals and HMRC fines.
Want help? Not sure what to do? Would like an independent party to help you audit? Need to reissue or rewrite contracts? You can contact us for support with these and all other everyday HR issues.
We will be organising a seminar in the next few weeks which will cover
the potential risks employers can face by using false self-employment. If you are interested in attending this seminar call us on 07375 097443 or e-mail firstname.lastname@example.org