Summary of response to employment status consultation

Submission from the Institute for Employment Studies, May 2018

In February 2018, the UK Government launched a consultation on employment status, seeking views on whether the recommendations in Matthew Taylor's review of modern working practices could achieve more clarity for employers when determining employment status.

This paper contains a summary of the IES response to the consultation and, drawing on our research in this area, including recent qualitative research into the gig economy and detailed analysis of the self-employed workforce, presents our evidence-based view on the recommendations.

Our response highlights that the gig economy is a new form of work into which there has been relatively little research to date. Likewise, our research shows that there is a diversity in the wider self-employed workforce to which a 'broad-brush' approach to regulation may risk losing the benefits of these types of employment. Relatedly, we recommend further research into the long-term impacts of the growth of this portion of the UK Labour market, including individuals working in the gig economy.

This consultation was one of four consultations launched by the government in its response to the Taylor Review of Modern Working Practices. IES also responded to the consultation on transparency in the labour market.