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Latest NewsGig economyHolidays and holiday payFreelance workersPensions

DPD to offer self-employed drivers sick pay and annual leave

by Ashleigh Webber 26 Mar 2018
by Ashleigh Webber 26 Mar 2018 MAURITZ ANTIN/EPA-EFE/REX/Shutterstock
MAURITZ ANTIN/EPA-EFE/REX/Shutterstock

Parcel delivery company DPD is to give self-employed drivers access to benefits such as paid annual leave, sick pay and pension entitlement through a new self-employed worker contract.

DPD announced that the new status would give self-employed couriers some of the protections usually enjoyed by employed staff, while being able to continue to work flexibly.

It plans to introduce the new status later this year and all workers, whether employed or self-employed, will be given the opportunity every year to choose whether they want to be classed as employed, as a worker or as a self-employed franchisee.

Employment status

Determining employment status

What defines a self-employed person?

The company laid out its plans for the status following the death of self-employed courier Don Lane earlier this year.

Lane had missed medical appointments to treat kidney damage caused by his diabetes because he feared he would be subject to DPD’s £150 daily penalty if he did not find cover for his deliveries.

DPD plans to scrap the £150 daily charge for self-employed drivers who fail to provide service and replace it with a points-based service failure system, which it said would be more consistent and transparent.

DPD CEO Dwain McDonald said that while most of its drivers wanted to remain self-employed, the company was looking to provide them with a number of options.

He said: “While the self-employed franchise scheme has benefitted thousands of drivers over the past 20 years, it hasn’t moved with the times and needs updating.

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“Our plan is to completely transform our overall driver offer, as well as the day-to-day working relationship we have with our drivers. I’ve been visiting our depots and talking to our drivers and the package of measures we are developing will be a direct result of those conversations.”

As part of its Good Work plan revealed earlier this year, the Government said it would seek to ensure that all workers, including those on casual or zero-hours contracts, receive basic employment rights such as sick pay and holiday pay. It also stated that it hoped to introduce the right for all workers to request a more stable employment contract.

Ashleigh Webber

Ashleigh is a former editor of OHW+ and former HR and wellbeing editor at Personnel Today. Ashleigh's areas of interest include employee health and wellbeing, equality and inclusion and skills development. She has hosted many webinars for Personnel Today, on topics including employee retention, financial wellbeing and menopause support.

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4 comments

Cass 26 Mar 2018 - 10:17 pm

Hi I work for parcelforce as an owner and think that this news is great for owner drivers as we are mad to feel like second class compared to employed workers

Steve 31 Mar 2018 - 8:02 am

Parcelforce treat their owner drivers terribly. The difference in atattitude towards owner drivers and employed drivers is massive

max 5 Jul 2018 - 10:41 pm

Same as fedex mate. Were nothing but a number

Angry ODF at DPD 25 Jul 2018 - 8:05 pm

Yea well this hasnt happened yet. Was suppose to change in July 2018 but nothing yet. Not even had an update to when it is coming in

Comments are closed.

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