UK media reports focus on couriers’ arrangements for sick cover

UK media reports focus on couriers’ arrangements for sick cover

An article published by The Guardian has drawn attention to courier companies’ arrangements for dealing with drivers who call in sick. The Guardian article, published online on Friday (3 March) evening, claimed: “Couriers who deliver parcels for Marks & Spencer, River Island and John Lewis face being charged £150 a day if they cannot find cover when they are ill.”

The article said that it based its claims on interviews with drivers for DPD – and it quoted the MP Frank Field, who chairs of the Commons work and pensions committee, as saying the arrangement was “appalling”.

However, the article also quoted a DPD spokesperson, who explained that the financial arrangement was actually made between DPD and its franchisees – who are contracted to deliver service.

Post&Parcel contacted DPD’s representatives for comment this morning. They sent us a copy of the statement which they sent to The Guardian – which we now reproduce in full:

“The DPD driver franchisee programme has been in existence for over 20 years, with many DPD drivers choosing this option over being employed.

“When we established the scheme, we consulted with and obtained clearance from the Inland Revenue and Customs & Excise to ensure that franchisees were genuinely self-employed and that the scheme was fully compliant with relevant legislation and good practice. We have subsequently consulted at length with HMRC and also the Vehicle and Operator Services Agency (now the Driver and Vehicle Standards Agency) over changes to the scheme and obtained further clearance from both organisations.

“Applicants are made aware at outset that it is a franchisee arrangement and are recommended to take independent legal and accounting advice before entering into the franchise contract.

“These drivers own their own franchise and run their own businesses.  It isn’t a ‘lifestyle’ option, and the scheme differs from that run by a number of other companies.  In 2016, our franchise drivers, who completed a full year, earned an average of more than £37,000 after costs.

“DPD franchisee drivers are not fined for being off work sick.  Franchisees are contracted to provide a service – if they are unable to provide that service themselves they are required to provide a substitute driver.  If they fail to do so, DPD have to fulfil that service and therefore reserve the right to charge the franchisee for the costs involved in doing so.”

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