WIRE OPENAn archive editionSEARCHARCHIVERSS
EST. 2000
UKTECH
THE IT-CONTRACTING & TAX RECORD
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IR35 will weaken employee rights, not strengthen them, says contractor

Do I really have to go through this again, do Tony, Dawn and Gordie really take no notice of my most excellent posts? (Ha HA).

I am not going into too much detail again.

1. IR35 will give employers the opportunity to weaken employee rights not strengthen them and will give an added incentive in the reduction of costs.

McDonalds could let all its employees go and then replace them all with freelance counter staff. If you want to work for us you have to be freelance. This means McD don't pay any NICs holidays etc. I am sure the risk of employee rights claims at a later date will not bother them.

2. People who are self-employed and undertake work for a variety of clients or from their own office, among others, are not affected by these rules.

Clearly refuted by the IR web site where it states each contract will be reviewed individually thus no matter how many contracts you have if each one fails the IR35 test you will be taxed as an employee of each client (That's going to complicate things).

3. Companies have to compete on a level playing field.

Clients can avoid all NICs and can take on contractors as long as they are supplied by EDS, ANDERSONS etc. They can't employ me as a contractor without exposing themselves to later employment rights. Even though I would do the same job as the EDS guy I would be regarded as an employee. Now that's really level.

Now obviously I am not as bright as Tone and his cronies but if all this is obvious to me where does he get his info from.

END OF ARTICLE ▪ FILED FROM LONDON