Unite Hits Out At Govt For Failing To Tackle Bogus Self-Employment

Union Unite has hit out at the Government for failing to tackle bogus self-employment in the construction industry.

A Freedom of Information request made by the union to HMRC revealed a total of 1.12 million workers were paid via the Construction Industry Scheme (CIS) in 2017/18, a 4% rise when compared with 2016/17.

In 2014, the Government launched a crackdown on bogus self-employment by barring construction workers operating via engagers (employment agencies and payroll companies) from being self-employed.


However, Unite said the continuing year on year increase in the number of workers operating via the CIS scheme demonstrates the Government's measures have failed. Since 2014, there has been an 18% rise in workers operating via CIS, with 49% of the industry's 2.29 million workers being paid via CIS in 2017/18.

Unite Assistant General Secretary, Gail Cartmail, said: "These latest figures are a damning indictment of the failure of the government to deal with rampant bogus self-employment in construction.

"Bogus self-employment is costing the exchequer millions in lost revenues and amounts to a huge hidden subsidy to construction employers.

"The government has clearly lost control of tackling bogus self-employment in construction, resulting in the routine exploitation of workers.

"The entire system needs to be radically reformed so that workers are either genuinely self-employed or paid via a standard PAYE format."

(LM/MH)