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Re: Britain outside the EU
Quote:
Originally Posted by Carth
I'm not sure many would want to go self employed nowadays, but yes, applying direct to a company would work . . . as long as the company was willing to employ direct and not use agencies as a get out 
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They used to be, to "minimise" tax - HMRC caught up with them, which is one of the reasons for the shortage.
https://driverrequire.co.uk/ir35
(Hiring companies didn’t mind either - no NI or pension contributions/liabilities).
Quote:
The effect of the IR35 reform is to force agency workers who previously operated as Ltd Companies to pay more tax and their agencies or end clients to pay Employer NI Contributions. If we were to keep the drivers’ net income the same, it would result in an increase in employment costs of 25% to the agency. This is clearly not sustainable and this cost increase must be absorbed somehow:
The drivers could take a cut in their net income, though it is feared that if this is too severe many British nationals will give up LGV driving for a career, while continental European drivers will “vote with their feet” and seek employment on the continent, where net pay will be higher and they will be “closer to home”.
The agencies could absorb some of the cost increase, but after decades of pressure from their haulage clients, their net profits are already razor thin, typically less than 2%, so they cannot tolerate much before being forced into insolvency.
Lastly, the end client, the haulage operator could absorb some of the cost increase, but we already know that margins in the haulage sector are extremely tight and there is little room for manoeuvre.
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Asda are offering HGV drivers with a minimum of 6 months experience £32k a year, for 45 hour weeks on late shifts.
https://www.asda.jobs/vacancy/hgv-dr...6/description/
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Last edited by Hugh; 28-08-2021 at 14:11.
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