5th November 2012, 10:32 PM
Wax, comparing wages to freelance day rates is rather difficult but the DF is pushing for the IfA to publish a ballpark minima figure for freelance to compare to the minima for employees. They did do this in the past for specialists: to match a MIfA minima you needed to charge at least ?200 a day back in ?2004. I think David has done this for his grades and suggests ?115 a day for a site assistant before any accommodation/long distance travel is added (David, please correct me if wrong).
What is easy is to work out is what the absolute minimum day rate must be to pay an income equivalent to the minima BEFORE ANY COSTS are added. This is achieved by adding the pension and sickpay element to the relevant minima (e.g. PIfA), and then dividing by 233 working days. This currently gives ?77.71 per day -just to meet the minima, with nothing for any work-related costs like tools, equipment, subscriptions, travel costs, accommodation costs, phone bills.....and that little matter of insurance, all of which will amount to several thousand pounds a year, and remember that most bona fide freelancers will be experienced, and should be charging accordingly, we're worth it! Of course many freelancers don't earn the relevant minima level as they don't work all year, therefore they should be judged pro rata.
One company in the north hires 'freelancers' at a rate that appears to be decided by dividing BAJR rates by 233 days, about ?65 a day, but obviously with no sick pay, pension subs or travel (they're freelance after all!). Unfortunately they aren't an RO, and none of the management are in the IfA so we can't put in a complaint -could that be on purpose? The increase in use of freelancers is no bad thing (I would say that as a freelancer), but when it is a cover for poor pay and conditions and is against HMRC rules it should be exposed. Although it is very hard to be prinicpled when you need to pay the rent, we as Diggers shouldn't work for this kind of money or we only have ourselves to blame.
To return to the main crux of the thread, please do email the IfA with your views and opinions, they do get listened to. Members of the IfA need to make sure that it is a member's organisation, representing members not employers. The mechanisms are there to use: voting for council, responding to consultations, writing to the staff, so please use them!
What is easy is to work out is what the absolute minimum day rate must be to pay an income equivalent to the minima BEFORE ANY COSTS are added. This is achieved by adding the pension and sickpay element to the relevant minima (e.g. PIfA), and then dividing by 233 working days. This currently gives ?77.71 per day -just to meet the minima, with nothing for any work-related costs like tools, equipment, subscriptions, travel costs, accommodation costs, phone bills.....and that little matter of insurance, all of which will amount to several thousand pounds a year, and remember that most bona fide freelancers will be experienced, and should be charging accordingly, we're worth it! Of course many freelancers don't earn the relevant minima level as they don't work all year, therefore they should be judged pro rata.
One company in the north hires 'freelancers' at a rate that appears to be decided by dividing BAJR rates by 233 days, about ?65 a day, but obviously with no sick pay, pension subs or travel (they're freelance after all!). Unfortunately they aren't an RO, and none of the management are in the IfA so we can't put in a complaint -could that be on purpose? The increase in use of freelancers is no bad thing (I would say that as a freelancer), but when it is a cover for poor pay and conditions and is against HMRC rules it should be exposed. Although it is very hard to be prinicpled when you need to pay the rent, we as Diggers shouldn't work for this kind of money or we only have ourselves to blame.
To return to the main crux of the thread, please do email the IfA with your views and opinions, they do get listened to. Members of the IfA need to make sure that it is a member's organisation, representing members not employers. The mechanisms are there to use: voting for council, responding to consultations, writing to the staff, so please use them!