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Workers may down tools in contract row

Builders stand against bogus self-employment

Angry construction workers threatened to down tools at a major transport site in London yesterday demanding an end to bogus self-employment through payroll companies.

Electricians on a Tottenham Court Road rebuilding site want to be directly employed under the JIB national agreement.

It is the most high-profile dispute yet surrounding recent government tax changes that could bring more than 200,000 construction workers onto PAYE.

The Unite union has been co-ordinating the fightback against bosses trying to dodge the new laws by signing allegedly self-employed workers up to “umbrella” payroll schemes.

Unite national officer Bernard McAulay said: “Unite is seeking legal advice over concerns that employers are attempting to circumvent the new regulations.

“We are urging our members to resist being pushed into payroll companies and insist on being directly employed and if necessary contact the union for support.”

Unite London secretary Harry Cowap said work yesterday was unaffected but the union would meet contractors NG Bailey tomorrow.

The threatened strike comes hot on the heels of a successful unofficial walkout by around 30 agency sparks in Sussex last week.

The workers won direct employment at the Three Bridges site shortly after downing tools to stop themselves losing out on £100 a week through their bogus contracts.

Unite officials — who represent mechanical and electrical workers in the construction industry — are also negotiating for employees at a building site in west London with the same problem.

General construction union Ucatt is calling for stronger measures to protect construction workers.

They want to abolish the tax related construction industry scheme and to introduce legislation that better differentiates between the self-employed and employees.

Ucatt general secretary Steve Murphy said: “The government has moved to end forced self-employment via agencies and payroll companies. That is a step forward but it doesn’t end the practice.”

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