Freelance body PCG warns BBC against stopping ‘vibrant, successful’ practices
8 November 2013
Freelancer trade association PCG has warned that the BBC risks damaging itself through its new guidelines on whether its on-air talent should be categorised as staff or self-employed.
Fri, 8 Nov 2013
Freelancer trade association PCG has warned that the BBC risks damage through its new guidelines on whether its on-air talent should be categorised as staff or self-employed.
A BBC spokesperson tells recruiter.co.uk that a new check, which it says in an article in in-house journal Ariel will be “agreed” with HM Revenue & Customs, being applied from Monday 11 November, “ensures a clear and consistent approach to determining how we hire on-air television talent when contracts come up for renewal”.
In 2011/12, the corporation employed more than 6,000 freelancers off the payroll through personal service companies (PSCs). Newsreaders Fiona Bruce and Jeremy Paxman are engaged in this way, with the arrangements coming under the scrutiny of the Public Accounts Committee last autumn.
There are 804 presenters identified as “priority cases”, and it is estimated 131 will move to staff contracts. Off-air talent, and those earning under £50k per annum, would not be affected, the corporation says.
PCG head of public affairs Simon McVicker says the freelancer model is particularly useful in the broadcasting industry, and comments: “The BBC is right to make use of the freelance market to deliver its projects.
“Rather than taking the retrograde step of pushing back against these vibrant, successful and rewarding working practices, the government should instead be embracing it,” he says, adding: “If there are concerns about tax, it is the tax system that should be reformed, not the way these experts are working.”
Matthew Brown, the managing director of contractor accountancy firm giant group, tells recruiter.co.uk that the BBC are “going beyond what current legislation requires”, adding that the corporation is essentially a ‘special case’ and thus keen to avoid bad publicity. “It’s because it’s the BBC,” he adds.
While BBC trustee Anthony Fry admits the changes are provoked by “a shift in public mood”, it has also acknowledged potential pitfalls, and commercial director Bal Samra says this is not an attempt at cutting costs, adding: “I sincerely hope we won't lose any talent and they appreciate the clarity we're bringing.”
Another article in Ariel quotes Darren Fell of the Freelance Advisor blog commenting that the approach seems “arbitrary”, adding: “They themselves admit there is nothing wrong with the employment arrangements of these freelancers, but overzealous politicians appear to have backed them into a corner.”
The BBC spokesperson tells recruiter.co.uk that, broadly speaking, the test means that the more time is spent on off-screen work, preparing and producing content, the more likely individuals would be considered staff, whereas freelancers would be those who spend more time in front of cameras or in studios.
The test also includes considerations such as length of contract, how much time is spent on air as opposed to performing other duties, whether the BBC is considered their “main employer”, as well as whether they had any restrictions on other work they are allowed to carry out.
According to BBC News, off-air talent is already being tested, with the BBC estimating around 20% of its 16,000 production freelancers may be asked to become BBC employees.
Freelancer trade association PCG has warned that the BBC risks damage through its new guidelines on whether its on-air talent should be categorised as staff or self-employed.
A BBC spokesperson tells recruiter.co.uk that a new check, which it says in an article in in-house journal Ariel will be “agreed” with HM Revenue & Customs, being applied from Monday 11 November, “ensures a clear and consistent approach to determining how we hire on-air television talent when contracts come up for renewal”.
In 2011/12, the corporation employed more than 6,000 freelancers off the payroll through personal service companies (PSCs). Newsreaders Fiona Bruce and Jeremy Paxman are engaged in this way, with the arrangements coming under the scrutiny of the Public Accounts Committee last autumn.
There are 804 presenters identified as “priority cases”, and it is estimated 131 will move to staff contracts. Off-air talent, and those earning under £50k per annum, would not be affected, the corporation says.
PCG head of public affairs Simon McVicker says the freelancer model is particularly useful in the broadcasting industry, and comments: “The BBC is right to make use of the freelance market to deliver its projects.
“Rather than taking the retrograde step of pushing back against these vibrant, successful and rewarding working practices, the government should instead be embracing it,” he says, adding: “If there are concerns about tax, it is the tax system that should be reformed, not the way these experts are working.”
Matthew Brown, the managing director of contractor accountancy firm giant group, tells recruiter.co.uk that the BBC are “going beyond what current legislation requires”, adding that the corporation is essentially a ‘special case’ and thus keen to avoid bad publicity. “It’s because it’s the BBC,” he adds.
While BBC trustee Anthony Fry admits the changes are provoked by “a shift in public mood”, it has also acknowledged potential pitfalls, and commercial director Bal Samra says this is not an attempt at cutting costs, adding: “I sincerely hope we won't lose any talent and they appreciate the clarity we're bringing.”
Another article in Ariel quotes Darren Fell of the Freelance Advisor blog commenting that the approach seems “arbitrary”, adding: “They themselves admit there is nothing wrong with the employment arrangements of these freelancers, but overzealous politicians appear to have backed them into a corner.”
The BBC spokesperson tells recruiter.co.uk that, broadly speaking, the test means that the more time is spent on off-screen work, preparing and producing content, the more likely individuals would be considered staff, whereas freelancers would be those who spend more time in front of cameras or in studios.
The test also includes considerations such as length of contract, how much time is spent on air as opposed to performing other duties, whether the BBC is considered their “main employer”, as well as whether they had any restrictions on other work they are allowed to carry out.
According to BBC News, off-air talent is already being tested, with the BBC estimating around 20% of its 16,000 production freelancers may be asked to become BBC employees.
