Freelancers Earn Their Way (The Hard Way)
Recently, the National Institute of Economic and Social Research released a study saying that working with temporary workers can be harmful to the health and wealth of permanent workers. It is their contention that temporary workers have caused the wages of permanent staff to be reduced by as much as 5%. The report further indicates that permanent full-time workers feel threatened by temps, which then causes them an undue amount of stress.
Comically, the report says that beyond spoiling wage rates, temps make permanent employees work harder as well. NEISR also claims that companies using temps tend to be more cutthroat and conscious of cost than companies employing only permanent workers.
In addition to the added stress of working with temps, the report states that permanent employees are reporting they have lower satisfaction in their jobs along with the higher anxiety even when temps are not working side-by-side with them in their own departments.
Permanent Worker = Better Worker?
At a time when the economy is focused on austerity and jobs are already on the line, it would appear that a permanent worker would want to work harder anyway. If it takes the presence of a freelancer to motivate a permanent worker to be doing the job he or she is being paid for, then they probably shouldn’t be in that job in the first place!
Freelancers earn their way
On a serious note, working as a freelancer is no easy endeavor either. There is much more paperwork to be dealt with and a huge amount of legalities to be concerned with. Where the average permanent worker does not need to employ an accountant to keep his or her taxes straight, a freelancer operating as a limited company will usually need assistance in this regard. Freelancers earn their way in the world and accountants are there to help them make sure that they get every penny due them, without overpaying the taxman.
About Nixon Williams
For the better part of two decades, Nixon Williams have been one of the UK’s leading and most trusted accountants catering to consultants, freelance contractors and interim managers. As one of the only remaining true accountancy, Nixon Williams does not operate under the guise of an umbrella company. The advice and services offered are pure accountancy and will never take the form of off-shore options or managed services.