Are Your Drivers Really Self-Employed?
Haulage contractors and other vehicle operators are being urged to review the employment status of their drivers, following a recent update of the statutory guidance from the Traffic Commissioner.
The Commissioner’s update states that it is considered rare for a driver to be genuinely self-employed, unless the individual owns the vehicle they are driving. Even those provided by an agency or other third parties may, in fact, be employees of the operator. As such, the Commissioner could consider referring companies to HMRC where there were concerns over status.
Treating drivers as self-employed offers benefits to both the vehicle operator and the driver, and HMRC invariably considers that incorrect employment status represents a loss of Revenue for the Treasury. Any operator disregarding or breaking the rules could face heavy penalties, as well as running the risk of losing their licence.
If you need help determining the status of your drivers, please contact us.
Please note: This article is a commentary on general principles and should not be interpreted as advice for your specific situation.
