The scourge of umbrella companies

[crankedup]

Yet another scab forming onto a wound is the growth of these umbrella companies. Government is investing the M.O. of such companies which operate like a leech, winning contracts and 'subbing ' them out to smaller companies under the harshest of contracts. One chap working under one of these 'outfits' complained to his M.P. last week ' I have been charged £6 for the company for my payslip, that is time it took to work out and the actual paper used along with delivery to me'. Is this how we want our hard working people to be treated? Cameron replied 'no it certainly is not' we are investigating.

[crankedup]

JensonA, yes that fairly sums up the situation regarding these umbrella companies. Personally I see them as you do, legal get out clauses can be used that absolve all responsibility to any employee who has the misfortune to be working under these Companies.One such Company has a five billion pound turnover yet employs the smallest most basic direct labour to win contracts. The share price is relatively tiny for such a annual turnover, presumably the company have very little in the way of tangible assets. I may be wrong here but it seems that the umbrella strip out some profit from a contract won and then sub it to the nearest mug. Imo this practice of umbrella should be made illegal, it is damaging to the long term prosperity and ambitions of decent companies and employee's.

Fraser, NHS areas, rail, MOD all are under umbrella companies. Nightmare that I am surprised has not been discussed in this forum previously.

Edited by crankedup on Wednesday 18th February 19:40