Construction Workers To Protest Over Umbrella Firms In Cambridge

Construction union UCATT will be demonstrating in central Cambridge outside of several developments including offices and student accommodation in protest at construction workers being forced to work via umbrella companies.

Being paid via an umbrella company is costing workers up to £100 a week.

Wednesday 26th November

Cambridge Railway Station

Station Road

Cambridge

CB1 2JW

7.30am

The sites where the demonstrations are taking place are being built by Wates and Hills who both use umbrella company labour.

The problem of workers being exploited by umbrella companies is endemic across Eastern England.

Tens of thousands of construction workers have been forced to work via umbrella companies since April 2014 when the Government introduced new measures which required workers to be paid via PAYE. By forcing workers to be paid via an umbrella company, the agency, contractor nor the payroll company are liable for increased costs.

Instead the additional costs are met by the worker who has to pay both employee and employer National Insurance Contributions.

In addition workers are officially paid the national minimum wage, despite having negotiated a pay rate far in excess of this figure. Pay is then partially re-boosted through the use of expenses, performance related pay and other methods. Holiday pay is rolled up into the rate, meaning that when workers take annual leave they are unpaid.

Payslips are made so complex that workers have reported that they do not understand how their pay is being calculated.

Additionally many umbrella company contracts are for zero hours, often with an exclusivity clause included. This means that workers have no certainty how many hours they will be required to work each week and an exclusivity clause prevents them from working for anyone else.