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Umbrella Companies featured in Treasury Questions this week with 2 questions from Labour MP’s.
The questions appear to show a misunderstanding about how compliant umbrella companies operate.
A group representing umbrella companies and employment intermediaries held a lobbying event on 11th March at the Houses of Parliament which has hopefully gone some way to clarifying these inaccuracies for those MP’s that attended.
It has been reported that following a successful campaign from UCATT, albeit completely inaccurate, Edwina Hart the Minister for Economy, Science and Transport has now announced that the Government in Wales will amend contracts to ensure Umbrella Companies cannot be used for new Construction Contracts.
The Chancellor included Umbrella Companies in his Autumn Statement after what seemed to be as a result of a campaign from UCATT and other Trade Unions criticising Umbrella Companies.
UCATT (Union of Construction, Allied Trades and Technicians) have come in for criticism for their blanket policy of targeting umbrella companies and not understanding that it is actually the change in legislation that means many construction workers can no longer be treated as self-employed or paid through the Construction Industry Scheme (CIS).
A recent swathe of negative press coverage has somewhat enveloped the Umbrella Company industry in the past couple of weeks. First up, the Union of Construction, Allied Trades And Technicians (UCATT) have further vocalised their entrenched reservations about umbrella companies. Their fundamental argument has been to debate what they see as unfair business practices carried out towards contractors by umbrella operators.
Yesterday (8th January 2015) Umbrella.co.uk attended an FCSA meeting and consultation with HMRC regarding the 'Employment Intermediaries: Temporary workers - Relief for subsistence and expenses proposal.
Umbrella’s response to the Chancellor’s Autumn Statement
The 2014 Chancellor’s Autumn Statement has caused quite a stir amongst umbrella companies following the inclusion of the following paragraphs within the Autumn Statement’s main documents
