Well its a subject I've always been interested in
As I've had this fantasy of expanding to the point of employing but the pitfalls and administrative side of PAYE don't really benefit a very small business and micro business like most of us have
It's not the National Insurance contributions it's more the legal side of employment law that would give us a lot of caution before we approach. And stuff like sick pay that could decimate a micro-business imagine if someone goes sick for the entire year.
I don't employ myself rather than a subby who occasionally works out of his own van to help me catch up when im late. Personally if I was employing I would prefer to go down the PAYE route it does seem much more clear cut.
It is what it is if people are doing it and it's done correctly the working relationship is set out correctly drafted out on paper signed he accepts to work on those terms and you have taken measures to ensure that he is at least self-employed perhaps the people who do it know what they're doing. I think the equaliser would be that the big boys are telling them they can work and go home whenever they like but obviously if the work isn't completed then they no longer have a job?
The first part of that is very much self employment
Also a commission paid job again you need to complete jobs to be paid rather than just turn up
Using common sense I'm certain HMRC would prefer this individual to be employed, but at the same time they would prefer him to be self-employed rather than unemployed there is a reason why this law is rather vague and why a lot of companies still employ in this manner just imagine the amount of unemployed if this law was extremely strict to micro businesses too.
It's a funny one people who do it I'm sure they do it legally so all the big boys out there fair play. Another reason why someone would accept it in our industry is they would prefer to work for a percentage and make for example 3000 pounds in a month rather than minimum wage.
The big boys don't tend to talk about it too much and it's fair enough although Im sure a lot of us wouldn't mind clarification nothing better than hearing it from the horses mouth. Experience and knowledge beats everything.
As I say I think there will be a humongous unemployment level if this was a serious rather than vague outline. Looking at the history it's been challenged a few times some of these cases are mainly high profile like uber. Think about how many friends you may know about that working like that even restaurants that get paid weekly forget about us at the moment at least if you did employ someone like this you could tell him to turn up whenever he wanted and go home whenever he wanted but at a restaurant it's blatantly employment.
Ir35 that effects probably less than 1% of any window cleaning company in the United Kingdom and they are still delaying it until 2020 because they know the impact even on that large-scale.
Anyway if we cant hear from the big boys lets hear from the smart boys like spurce what do you think about all this
