Gig Economy Set for Regulation Overhaul in UK

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A leaked report has fallen short of demanding minimum wage for gig economy workers

May hopes the report will woo working class voters, but the Labour opposition said it did little more than highlight the Conservatives' record of "failing working people".

On top of the changes to working conditions, Theresa May, who is launching the report is expected to say changes to gig economy companies will avoid "overbearing regulation".

An employment tribunal is set to rule on the status of Deliveroo couriers this year.

"I worry that many gig economy employers will be breathing a sigh of relief this morning".

"We welcome this report which looks at the rise in self-employment and new ways of working which predate apps like Uber". The review, due to be published today, will recommend that ministers create a new type of worker called a "dependent contractor", the BBC said, granting greater entitlements.

An individual who chooses to work at a time of low demand does so, provided that he or she understands that position, without any risk of pay claims for the employer. The review's first proposal is for the government to define clearly in primary legislation when someone is a "dependent contractor" - this the review's suggested new name for an intermediate "third" employment status. Despite the concessions that give workers more rights Matthew Taylor's review has been criticised for not being strong enough.

A spokesman for Deliveroo said the company is ready to work with Government to end the trade-off between flexibility and security of employment.

"There needs to be a balance so that people who prefer to pay cash-in-hand can continue to do that legitimately, and for people who prefer not to do that we have the technology and innovation to help them to do it".

We will build on the strengths of our labour market.

'Bad work - insecure, exploitative, controlling - is bad for health and wellbeing, something that generates cost for vulnerable individuals, but also for wider society.

He suggests maintaining the term "worker" but renaming it "Dependent Contractor", this being the group of people who, in his view, suffer from one sided unfair flexibility. "We have also heard accounts of poor management practices which make people's working lives miserable".


"That means building on our high employment rate and low unemployment rate - and continuing to strive for full employment".

"Exactly a year ago Theresa May promised a country that works not for a privileged few, but for every one of us".

Mr Taylor, who worked on the review for nine months, is presenting seven recommendations to the government to provide "good quality work".

Tim Roache, GMB General Secretary, said: "The recommendations in the Taylor Review show some laudable aims on the surface - and of course any progress in basic employment rights is welcome - but as a whole it's a disappointing missed opportunity".

Pressed again on whether people will still have to pay the tribunal fees, he added: "Yes".

Mr Corbyn said: "Obviously, we've got to get rid of zero-hours contracts, obviously we've got to get rid of the gig economy and bogus self-employment, which actually is a wonderful way for a minority of employers to evade paying employers" national insurance contributions.

"People should take with a large grain of salt anything they recommend".

Sir Vince Cable, the likely next Lib Dem leader and former business secretary, said the proposals were "broadly sensible".

"Prior to his appointment he disclosed his interest to the Cabinet Office and agreed to divest himself of his shares".

The issue of low-paid and insecure work is one of the thorniest and important problems facing the British economy. It applies to people flexibly employed by a company and entitled to the minimum wage, holiday pay and sick pay, but not other rights, such as the ability to sue for wrongful dismissal.

"It's the people told to be ready for work or travelling to work, only to be told none is available".

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