Abuse of the independent contractor worker status, by Martin Siecker

For the very first time, an opinion was adopted on the abuse of the independent contractor worker status. The deregulation has led to a progression of this status, which can result in very problematic labour relations, especially in the context of cross-border services. This is the case, for example, of workers who do not enjoy any judicial protection related to this status and can be hired or dismissed overnight in a segment of the labour market which is controlled by intermediaries of illegal labour.

In many cases, it is a matter of false independent contractors. The abuses vary from non-payment of social contributions, or of the salary provided for by the collective agreement, or of the withholding tax, to unfair competition through non-declared work. The victims of these practices are multiple: the State, which does not receive the tax or the social contributions; the employees, who lose their rights and are faced with social dumping and the loss of their job; and finally the enterprises, which face unfair competition.

Although the Commission does not have any mandate on this matter, the initiative opinion can bring a strong added value. The EESC has the right and the duty to report, identify and denounce the abuse. The misappropriation of the status of the independent contractors is a part of this. It is one of the methods employed by the intermediaries of illegal labour in order to have exploitation accepted as a business model.

Exploitation inevitably leads to exclusion. Europe affirms without any ambiguity that such a society will not see the light of day. This problem will not be solved in one day. But pressure can change things. What is true in physics is also true in politics. The competences of the Commission regarding the budgets of the Member States are one example. It is high time that exploitation and exclusion were put in the agenda of the political debate. This opinion is a first step in this direction.