“you can not employ a driver on a self employed basis if he/she only works for you as inland rev say there is no reason why can not be paye. “
Luckily it’s not the IR who decide, it’s the courts, and they think differently. There is case law relating to the transport industry which allows companies to ‘employ’ self-employed drivers to drive the company’s vehicles – as long as the contract’s properly worded.
There’s also no specific law against paying a driver a percentage or a mileage rate. I think the reason this is seen as a problem is that if you’re running vehicles over 3500kg and you receive attention from the Traffic Commissioners following an accident or drivers’ hours offences they they’re likely to rule that a bonus scheme, or mileage based payments is a contributing factor to the problem and penalise the company more than they would normally.
Posted under Employment
Posted by Alec at 10:01 am, March 10, 2008