Taxi Driver Online

Well this is a very odd article

Not only because when articles like this do appear, it's normally the drivers v the operators, as opposed to one operator v the other operators here (and not sure why they're not named, because presumably everyone will know who they are, in the trade at least).

And while the case is well made, it totally misses the elephant in the room - that the norm in the trade is that drivers aren't employees, effectively invalidating much of the stuff below.

Of course, to the extent that it's arguable that the vast majority of the drivers should be employees (or at least have 'worker' status rather than be treated as freelance/self-employed) then that would validate a lot of the stuff below. But because the disputed nature of employment status isn't covered, the piece spectacularly misses the point


Redditch taxi firm's claims over rivals 'not paying minimum wage or National Insurance'

https://redditchstandard.co.uk/news/red ... insurance/

A REDDITCH taxi firm has slammed the regulation of the sector, claiming companies operating in the town are not playing by the rules, giving them an unfair advantage.

And the bosses, who do not want theirs or their company’s name mentioned, claimed they had submitted evidence about other operators not paying minimum wage, employers National Insurance (NI), pension contributions or holiday pay but nothing had being done.

The company told the Standard it prided itself on being a reputable taxi firm which treated its drivers and other staff properly and paying the Government’s minimum wage rates, NI, pension contributions and holiday pay.

It expressed its frustration at being unable to compete ‘on a level playing field’ and said the other firms’ breaches led to them being undercut during tendering processes.

“We have had members of staff from other companies who have shown us their wage slips – they often have just an amount paid and no hourly rate or number of hours worked.

“We calculated some were being paid as little £7-per-hour when the minimum wage is £12.71 – it is tantamount to modern day slavery.”

Some of the contracts the firm tenders for includes school to home transport.

The company claims Worcestershire County Council and Warwickshire County Council are not carrying out proper checks to ensure firms they use are paying people correctly.


“If we quote £190 per day it is because that is as low as we can go when you include the drivers and the passenger assistants (chaperones) needed to take vulnerable children to and from school, along with fuel.”

They added it would not be hard for the authorities to check if companies were operating above board as the contract documents should include a breakdown of the costs, including how long the journeys would take and how much the staff were paid.

“Councils should be alert to this – if a PA is listed as being paid £25 for a three-hour job, that shows they are not receiving minimum wage.”

They said other techniques used included companies only paying drivers for the time they spent between picking up a passenger and dropping them off and not including time taken to get to and from the jobs. This, he added, should also be wrong.

Councils’ responses

A Worcestershire County Council said the authority was not the employer of staff engaged by transport operators and did not have a role in determining individual employment matters between operators and their employees.

“The payment of wages, National Insurance contributions, pension contributions and holiday pay is a matter between the employer and employee, with compliance monitored and enforced through the relevant statutory framework and enforcement bodies.

“When procuring transport services, the council requires operators to comply with all applicable legislation and contractual requirements.

“However, the council is not responsible for overseeing the payroll arrangements of individual operators or investigating private employment disputes unless there is evidence that a supplier is in breach of its contractual obligations or relevant legal requirements.”

They urged any employee who believed they were not receiving the pay or employment benefits they were entitled to to raise it directly with their employer and then seek advice from the relevant regulatory or enforcement authority.

A Warwickshire County Council spokesperson said it took any allegations of labour exploitation very seriously.

“The council is committed to upholding high standards of ethical conduct and respect for human rights across all its operations and commissioned services.

“Under the terms of the Council’s Taxi Dynamic Purchasing System Agreement, operators are required to comply with all the requirements of English Law which therefore includes complying with the requirements of the National Minimum Wage, National Insurance contributions, pension obligations, and holiday pay, where applicable.”

They added failure to comply with the applicable legal requirements would constitute a serious breach of contract that would result in action being taken in accordance with the terms of the agreement.

And they said the council undertook appropriate contract management and monitoring to ensure compliance with the requirements of its agreements.

‘Report those who fail to pay minimum wage’ – HMRC

A HMRC spokesperson said it would always act against employers failing to pay the minimum wage and the right tax.

“We strongly urge anyone who thinks they are not being paid the legal minimum to report it to us.”

Anyone who feels they are not being paid the minimum wage can report it to ACAS, in confidence, on 0300 123 1100.

Alternatively, call the Fair Work Agency directly on 0345 161 6000 or email: contact@fairworkagency.gov.uk for advice on addressing issues.

Sadly, councils don't give a flying f*** about things like workers' rights and minimum wages when it comes down to tenders for their school runs.

They are only interested in who's cheapest, not why they are cheapest.

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IDFIMH