Evaluating the working conditions of the dependent self-employed

Abstract

Purpose

In recent years, there has been a concern that employers are falsely classifying employees as self-employed to evade collective agreements and labour laws (e.g. minimum wages, working time legislation and protection in case of redundancy), and the result is that these dependent self-employed suffer poorer working conditions. The purpose of this paper is to provide an extensive evaluation of the working conditions of those in dependent self-employment compared with the genuine self-employed.

Design/methodology/approach

To do so, data are reported from a 2015 European Working Conditions Survey of 35,765 workers in 28 European Union member states.

Findings

Of the 4.3 per cent of the working population found to be in dependent self-employment, the finding is that they have similar working conditions to the genuine self-employed in terms of their physical and social environment and intensity of work. However, they have poorer job prospects and less ability to use their skills and discretion than the genuine self-employed. In terms of the working time quality, meanwhile, the finding is that they have better conditions than the genuine self-employed. Therefore, this analysis uncovers the need for a more nuanced understanding of the relative working conditions of the dependent self-employed.

Research limitations/implications

If the working conditions of the dependent self-employed are to be tackled, evaluation is now required of whether the current policy approaches, such as developing a hybrid category of employment with legal rights attached, address the specific working conditions that are worse for the dependent self-employed.

Originality/value

This is one of the few papers which provides an extensive evaluation of the working conditions of those in dependent self-employment in the EU28.

Citation

Horodnic, I.A. and Williams, C.C. (2020), "Evaluating the working conditions of the dependent self-employed", International Journal of Entrepreneurial Behavior & Research, Vol. 26 No. 2, pp. 326-348. https://doi.org/10.1108/IJEBR-07-2018-0445