A WESTMINSTER report into the so-called gig economy has been criticised by a union for its “limited ambition”.

GMB hit out at a new joint committee paper, A Framework for Modern Employment, examining what the union calls “bogus

self-employment”.

The research by the Work and Pensions and Business, Energy and Industrial Strategy committees recommends tougher enforcement and penalties for employers who flout the laws on flexible working.

The paper also calls for an end to a loophole in agency worker regulations allowing companies to bypass a right to equal pay, known as the Swedish derogation.

It comes after the Taylor review of employment practices in the UK, published earlier this year.

Tim Roache, GMB general secretary, welcomed the recommendations, but called for more to be done.

He said: “This Government has just stood and watched while employment rights, incomes and taxes to the economy drain away.

“Insecure work makes the lives of millions of people a misery. It harms mental health and makes it harder for people to plan their lives. Today’s select committee proposals are just a start in tackling the scourge of insecure work in the UK.

“The fact remains that without real investment in HMRC and a political will to get tough on rogue employers who are cheating the British taxpayer out of millions and reaping profits out of worker exploitation, then there will be no significant change.

“The fact that two select committees are calling for measures to tackle insecure work should be an even louder wake up call to the Prime Minister – warm words won’t cut it in the real world.”

A spokesperson for the Department of Business said: “We have record numbers of people in work thanks to our flexible labour market, benefiting both workers and business.

“But we recognise that the labour market is not working for everyone which is why we commissioned Matthew Taylor to review modern working practices to ensure our employment rules and rights keep up to date. We are considering his report carefully and will respond in due course.”