NICOLA Sturgeon has said it is “absolutely outrageous” that workers on public-sector contracts are being charged by umbrella agencies to get paid.
The SNP leader made the comment, during a clash with Labour’s Richard Leonard during First Minister’s questions yesterday.
Leonard said it was telling that many of the companies working on public-sector projects had not signed up to the Government’s Scottish business pledge to adopt fair and progressive practices.
He told MSPs: “In Scotland, Carillion had a system where workers on the Shotts rail line electrification were charged up to £100 a week simply to be paid their wages. We know that construction companies do this throughout Scotland, through a system of umbrella companies, set up by employment agencies, which allows them to dodge tax, cut costs and exploit workers.”
Sturgeon said that while she found the practices “unacceptable and outrageous” they related to employment law which was reserved to Westminster.
Leonard disagreed, arguing that workers on contracts funded by public money should not be treated so shamefully. “Workers are being charged for the privilege of being paid,” said the Scottish Labour leader.
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