Casualisation and pay

The increasing use of Swedish derogation contracts and the proliferation of agency worker contracts prior to the AWRs reflects a trend among employers to seek ways of avoiding their obligations to implement equal treatment on pay and other contractual obligations for all employees.

The increase of other forms of casualisation, such as the use of zero hour contracts and other non-standard employment arrangements, across the workforce also forms part of this trend. This also involves the increasing use of payroll and umbrella companies which take responsibility for handling pay and tax matters for workers undertaking work for a separate business, and the wider practice of employers obliging workers to adopt a “bogus self-employment” status in order to avoid a direct employment relationship.