Around 120 sub-postmasters have brought an employment lawsuit against the Post Office, challenging its classification of them as self-employed contractors. Self-employed status means that the UK’s sub-postmasters, of which there are around 8,500, are not entitled to benefits such as sick pay, holiday pay and pension rights.
While the Post Office claims that they are self-employed, the sub-postmasters are arguing that they are dependent on the Post Office and that the Post Office has a certain amount of control over their work. As a result, they argue, their working relationship is more akin to that of traditional employment.
The case has the backing of the Communication Workers Union and is set to be heard this month at the Central London Employment Tribunal. The hearing is expected to last for around six weeks.
Should the sub-postmasters be successful, the Post Office could face having to pay a considerable bill, while a victory would also have wider significance for the issue of employment status in the UK. Employment status has taken on considerable prominence following high-profile cases such as the recent lawsuit against Uber.
IPSE Director of Policy Andy Chamberlain said: “As we emerge from lockdown and survey the economic damage of the pandemic, more attention than ever is being focused on the UK labour market and the question of whether it can deliver good and secure work.”
“The sub-postmasters’ employment tribunal comes on the back of a surge of gig economy cases. It is a rising tide of evidence that government must step in to clear the confusion in the gig economy and protect both freelancers and those who should properly be classed as workers.”
Qdos CEO Seb Maley, meanwhile, said: “If 120 sub-postmasters are successful and receive employment rights from the Post Office it could pave the way for all 8,500 being granted worker status. It might also inspire millions of other gig economy workers to stake their claim for rights.”
