Pimlico Plumbers judgement could have significant implications for British firms arguing most of their workforce are self-employed contractors

Commenting on the Supreme Court judgment today (Wednesday) on the case of Pimlico Plumbers Ltd and another v Smith, Torsten Bell, Director of the Resolution Foundation, said:

“The Supreme Court judgment today could have significant implications for many workers that firms see as self-employed contractors and miss out on employment rights like the minimum wage, sick leave or paid holidays.

“The Court judged that the level of control the firm applied to Mr. Smith, including limits on his right to have someone else fill in for him, was sufficient for him to be reclassified as a ‘worker’ with extra employment rights. This could have wider implications for other firms who exercise a degree of control over their self-employed contractors.

“Today’s judgment should also remind us that issues related to the so-called ‘gig-economy’ stretch well-beyond new app-based services to more traditional occupations like plumbing, couriering and hairdressing.

“The onus is now on the government to follow up on its consultation following on from the Taylor Review and ideally to enforce as well as clarify the law on employment status, rather than relying on the Courts to do all the heavy lifting.”

Notes to Editors

  • The Supreme Court Judgement is available here.
  • An article from Torsten Bell following the Court of Appeal ruling on the case is available here.
  • The government’s consultation on employment status (now closed), announced in response to the Taylor Review of Modern Working Practices is available here.