New government guidance to help businesses over employment rights

Businesses and workers, particularly those in the gig economy, will benefit from greater clarity over their employment status, thanks to new guidance, the government has said.

A person’s employment status is what defines the rights and employment protections they are entitled to at work including pay, leave and working conditions, and therefore dictates the responsibilities that an employer owes to that worker.

The new guidance brings together employment status case law into one place for businesses and individuals to access. Business Minister Jane Hunt commented: “Today we are tidying up the rules, helping workers to find out if they are being treated fairly by their workplace.”

Crucially, the guidance also clarifies the rights that gig economy workers are entitled to – from the national minimum wage to paid leave – while offering them the same degree of flexibility to take on additional work if they choose. This clarity comes following the landmark Uber Supreme Court judgement which held that individuals in the gig economy can qualify as ‘workers’, meaning they are entitled to core employment protections.

The new guidance includes advice for smaller businesses with “less capacity and legal expertise to understand the law”.