Parcelforce drivers go solo

PARCELFORCE, the heavily loss-making parcel wing of Consignia – alias the Post Office – is offering more employees the chance to become self-employed owner-drivers as part of its far-reaching restructuring and cost-cutting drive. Successful trials at a number of depots, including Milton Keynes, Aldershot and Leeds, have persuaded Parcelforce to extend the scheme. It wants to have a quarter of its 4,500 routes operated by owner-drivers over the next few years. Jonathan Millidge, personnel director, said: “The pilots have proved very successful. We are getting a high level of interest.” So far 25 Parcelforce employees have taken the plunge. The company provides advice and guidance but no finance. After discussions with the Inland Revenue it has produced a package that avoids employees running foul of the complex self-employed regulations. Parcelforce offers a two-year contract with income linked to successful deliveries. Drivers are free to undertake other business but have to provide cover during sickness and holidays. Most own their vehicles through a lease arrangement rather than prejudice their self-employed status by operating vehicles in the Parcelforce fleet. The company estimates that typical earnings for the new breed of owner-drivers are comfortably above Parcelforce pay rates, averaging up to pounds 800- pounds 850 on a busy route. Parcelforce estimates the owner-driver set-up produces route savings of 20pc. Paul Dodds, the first of four Milton Keynes drivers to switch says he has never failed to double his weekly earnings since changing to owner-driver status in January. “It makes you more ambitious and the rewards are great. But it really is hard work.”