Self-employed threatened by Brussels Bureaucracy, warns PCG

Freelancers and the self-employed face an uncertain future as a result of a European Green Paper that threatens to lead to restrictions on the flexibility that is vital to many workersí livelihoods.

The European Commissionís Green Paper on labour law, released today, has prompted both disappointment and alarm from the Professional Contractors Group (PCG), which represents the UKís freelancers. Although the ECís stated aim is merely to promote a public debate, it is feared that it could result in a proposal for a directive to restrict freelancing and self-employment.

ìFreelancers currently enjoy the freedom to go from client to client providing a flexible set of skills in a way that benefits all concernedî explained PCGís policy officer John Kell. ìThis flexibility is vital to maintaining the dynamism of the UKís economy, and that of the EU. This Green Paper talks about bringing this way of working within the scope of employment law - this could throw up all sorts of barriers to totally legitimate ways of working.î

The International Labour Organisation recommended in June that employment law should not interfere with commercial relationships - which is the kind of relationship freelancers and the self-employed have with their clients. PCG has found it disappointing that the European Commission has not been able to address this issue with similar clarity and common sense.

Instead, the Green Paper seems to treat all working relationships as a form of employment and advocates a model of ëflexicurityí to combine flexibility and security, which risks lumping commercial relationships and employment relationships together in a way that could confuse and damage both.

ìWe agree that flexibility and security need to be balanced, and certainly donít want to pursue flexibility at the expense of vulnerable workersî added Kell. ìBut any new legislation based on the vaguely-defined ideas in this Green Paper would probably sacrifice flexibility in the name of security. We hope the Commission will use the consultation to develop a clearer understanding of modern ways of working.î