DPD Internal Documents Suggest Temporary Workers Denied Statutory Pay
DPD faces allegations that thousands of temporary workers were denied statutory sick pay and pension contributions over the last two financial years.
Internal documents from DPD, a UK courier company owned by La Poste, indicate that more than 3,000 temporary workers may have been denied statutory sick pay and pension contributions over the last two financial years. Records for these staff members show hourly pay, holiday pay, and national insurance, but omit entries for sick pay and pensions.
Employment law experts suggest the omissions indicate that workers were either denied these payments or terminated before they reached 12 weeks of service, the threshold at which pension contributions become due. The issue coincides with the recent launch of the Fair Work Agency, a UK government body established on April 7 to enforce workers' rights across the temporary recruitment industry.
DPD asserts that the legal responsibility for these payments rests with the recruitment agencies acting as the employers. The company maintains that its commercial charge rates are benchmarked against industry competitors and allow agencies to fulfill their statutory obligations. However, the Association of Labour Providers has issued guidance stating that labour users are responsible for ensuring providers are paid rates that reflect legal employment costs.