{"id":15393,"date":"2018-06-15T15:22:34","date_gmt":"2018-06-15T14:22:34","guid":{"rendered":"http:\/\/unitelive.org\/?p=15393"},"modified":"2020-11-12T12:58:42","modified_gmt":"2020-11-12T12:58:42","slug":"umbrella-firms-sink-new-low","status":"publish","type":"post","link":"https:\/\/unitelive.test.igniteamt.com\/?p=15393","title":{"rendered":"Umbrella firms sink to \u00e2\u20ac\u0098new low\u00e2\u20ac\u2122"},"content":{"rendered":"<div id=\"fb-root\"><\/div>\n<p>A troubling new practice of deducted the government\u00e2\u20ac\u2122s Apprenticeship Levy from workers\u00e2\u20ac\u2122 wages \u00e2\u20ac\u201c on top of taxes meant to be paid by employers \u00e2\u20ac\u201c has been described as a \u00e2\u20ac\u015bnew low\u00e2\u20ac\u0165 for rip off umbrella companies by Unite.<\/p>\n<p>&nbsp;<\/p>\n<p>The <a href=\"unitelive.org\/tag\/apprenticeship-levy\">Apprenticeship Levy<\/a>, set up by the government to fund skills training, is supposed to be paid by firms with wage bills in excess of \u00c2\u01413m.<\/p>\n<p>&nbsp;<\/p>\n<p>But one firm has been exposed for deducting the levy from its workers\u00e2\u20ac\u2122 pay packets \u00e2\u20ac\u201c though doubtless there are many more.<\/p>\n<p>&nbsp;<\/p>\n<p>Clipper Contracting Group also uses staff wages to pay its employer\u00e2\u20ac\u2122s National Insurance contributions.<\/p>\n<p>&nbsp;<\/p>\n<p>Unite said Clipper Contracting had reached a \u00e2\u20ac\u015bnew low\u00e2\u20ac\u0165 even for <a href=\"unitelive.org\/tag\/umbrella-companies\">umbrella companies<\/a>, which place themselves between staff and employers to skim workers\u00e2\u20ac\u2122 hard earned wages.<\/p>\n<p>&nbsp;<\/p>\n<p>HGV driver Kevin Stewart, from Liverpool, told the <em>Mirror<\/em> about his experience working for Clipper Contracting.<\/p>\n<p>&nbsp;<\/p>\n<p>He <a href=\"https:\/\/www.mirror.co.uk\/news\/uk-news\/union-slams-new-low-hgv-12699372\">said<\/a>, \u00e2\u20ac\u015bI was promised a wage of \u00c2\u014112.50 an hour. When I received my payslip online there were all sorts of stoppages I did not understand.<\/p>\n<p>&nbsp;<\/p>\n<p>&#8220;I ended up on \u00c2\u01417.85 per hour for driving an HGV vehicle and working nights. I left after three weeks.\u00e2\u20ac\u0165<\/p>\n<p>&nbsp;<\/p>\n<p>Stewart was working for courier firm UK Mail, which is investigating the claims, but was paid through umbrella firm Clipper Contracting.<\/p>\n<p>&nbsp;<\/p>\n<p>Clipper boss Rob Wilks admitted employer\u00e2\u20ac\u2122s National Insurance and Apprenticeship Levy deductions were taken from Stewart\u00e2\u20ac\u2122s wages and blamed the recruitment agency that advertised that job for not informing Stewart he would have to pay them.<\/p>\n<p>&nbsp;<\/p>\n<p>Wilks told the Mirror, \u00e2\u20ac\u015bIf the recruitment agency had wanted the worker to receive a taxable pay equivalent to \u00c2\u014112.50, then the hourly rate they agreed should have been higher to accommodate our company costs.\u00e2\u20ac\u0165<\/p>\n<p>&nbsp;<\/p>\n<p>Unite national officer for road transport Adrian Jones said Stewart was being paid \u00e2\u20ac\u015ba pittance\u00e2\u20ac\u0165.<\/p>\n<p>&nbsp;<\/p>\n<p>He said, \u00e2\u20ac\u015bForcing the worker to pay the Apprenticeship Levy is a new low for umbrella companies. They are now passing taxes they should be paying themselves onto the workers who they are already fleecing.<\/p>\n<p>&nbsp;<\/p>\n<p>\u00e2\u20ac\u015bUmbrella companies provide zero benefit to workers. All they do is help employers line their pockets by avoiding tax and ripping off staff. Employers are condoning this exploitation by turning a blind eye to contractors\u00e2\u20ac\u2122 and agencies\u00e2\u20ac\u2122 actions.<\/p>\n<p>&nbsp;<\/p>\n<p>\u00e2\u20ac\u015bIf the government had any real interest in helping ordinary people it would ban umbrella companies immediately.\u00e2\u20ac\u0165<\/p>\n<p>&nbsp;<\/p>\n<p>Stewart\u00e2\u20ac\u2122s case is the latest in a series of scandals involving firm\u00e2\u20ac\u2122s using employment loopholes to cheat workers\u00e2\u20ac\u2122 out of wages and employment rights.<\/p>\n<p>&nbsp;<\/p>\n<p>Unite is currently taking <a href=\"http:\/\/www.unitetheunion.org\/news\/co-ops-preferred-employment-agency-faces-legal-action-over-bogus-self-employment\/\">legal action<\/a> against an employment agency supplying drivers for Co-op supermarkets over the use of \u00e2\u20ac\u0098bogus self-employment\u00e2\u20ac\u2122 practices that result in pay differences of nearly \u00c2\u01413 an hour and deprive staff of basic rights such as holiday and sick pay.<\/p>\n<p>&nbsp;<\/p>\n<p>Meanwhile this week the <a href=\"https:\/\/www.bbc.co.uk\/news\/business-44465639\">Supreme Court ruled<\/a> that a Pimlico Plumber worker who has worked for the firm for six years is entitled to workers\u00e2\u20ac\u2122 rights despite being classified as self-employed.<\/p>\n<p>&nbsp;<\/p>\n<p>The ruling is expected to have widespread repercussions for the <a href=\"unitelive.org\/tag\/gig-economy\">gig economy<\/a>.<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>A troubling new practice of deducted the government\u00e2\u20ac\u2122s Apprenticeship Levy from workers\u00e2\u20ac\u2122 wages \u00e2\u20ac\u201c on top of taxes meant to be paid by employers \u00e2\u20ac\u201c has been described as a \u00e2\u20ac\u015bnew low\u00e2\u20ac\u0165 for rip off umbrella companies by Unite. &nbsp; The Apprenticeship Levy, set up by the government to fund skills training, is supposed to [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":2317,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[17],"tags":[167,712],"wps_subtitle":"Rip-off firms snatch apprentice levy from workers\u00e2\u20ac\u2122 pay","_links":{"self":[{"href":"https:\/\/unitelive.test.igniteamt.com\/index.php?rest_route=\/wp\/v2\/posts\/15393"}],"collection":[{"href":"https:\/\/unitelive.test.igniteamt.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/unitelive.test.igniteamt.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/unitelive.test.igniteamt.com\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/unitelive.test.igniteamt.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=15393"}],"version-history":[{"count":2,"href":"https:\/\/unitelive.test.igniteamt.com\/index.php?rest_route=\/wp\/v2\/posts\/15393\/revisions"}],"predecessor-version":[{"id":26132,"href":"https:\/\/unitelive.test.igniteamt.com\/index.php?rest_route=\/wp\/v2\/posts\/15393\/revisions\/26132"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/unitelive.test.igniteamt.com\/index.php?rest_route=\/wp\/v2\/media\/2317"}],"wp:attachment":[{"href":"https:\/\/unitelive.test.igniteamt.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=15393"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/unitelive.test.igniteamt.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=15393"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/unitelive.test.igniteamt.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=15393"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}