A report this morning from one of the UK’s leading think tanks is proposing sweeping reforms to parts of the self-employment landscape. In response to some of the criticisms levelled at the gig economy over the past couple of years, the Resolution Foundation is proposing that some of the self-employed - those whose prices are fixed by a firm - be entitled to the minimum wage.
The think tank also suggests that this question of whether an individual has their prices ‘set’ by a firm should be the test for whether they are in fact in ‘disguised employment’.
Responding to the report, the IoD’s Seamus Nevin agreed that more clarity needed to be brought to the self-employment landscape. However, he also warned that creating an obligation for prices to meet the level of the minimum wage could undermine firms who see regular peaks and troughs in demand.
The report feeds into the work of the Taylor Review into modern employment, which is due to report (after a delay) later this month.
The Resolution Foundations report is attatched below: