The first IOC heads of industry event back at a real table, hosted at the IoD in Pall Mall, London was a full house with every distanced seat taken. Workers' Status expert, express sector lawyer Melanie Stancliffe opened with an enthralling report from historic Pimlico Plumbers to latest Uber decisions and the implications of control in our sector. Graham Thomas from Ocado introduced Sam Harrison from DEFRA to talk national clean air zones and David Landy from Hermes delivered operational detail on gas trucks for linehaul. Andy Magromallis explored threat and theft in parcel and introduced the final key note from Superintendent Patrick Holdaway of City of London Police who spoke parcel theft and reporting on the correct codes to measure our sector.
Slides and full keynotes are available to fellows. Unanimous request to be back at table for the next one, Set the date, Heads of industry round tables are quarterly and the next one is post peak, Feb 8th 2022.
Melanie Stancliffe, expert sector lawyer – Worker status update
Multi-apping post the Uber Supreme Court decision.
Employees and workers. There have been an influx of new cases. Melanie took a look at the history, Taylor report. IR35. Demand for low or no cost for the consumer. Reduced pool of talent. Cases re-classifying self-employed service provider as worker. Looking at employment status, Tax, NICs and VAT. Following the Uber decision, there is a tax liability for a non-worker in the form of VAT.
The Uber v Aslam 2021 UKSC5 in the Supreme Court. Drivers using the Uber Platform were workers. The dependency point, Uber constrained drivers' freedom to choose when to work. ‘once logged into app, had to take jobs or be penalised.’
The Uber decision was prior to multi-apping. A driver today using more than one app is clearly working on different platforms. Making them more clearly self-employed.
Key points of the Uber decision. An individual can be a worker even without a contract. Review arrangements seen as self-employed or platform-based. Business choice, real freedom or subordinate control?’ Use accurate contracts.
Melanie gave a high-level review of the recent cases of Addison Lee and Pimlico Plumbers. Looking at control, cleanliness of the vehicles, restrictive covenants stopping people working for competitors. Yodel was found to be self-employed. Using their own vehicles, Yodel can veto, may appoint a substitute. Other cases for discussion Deliveroo riders were not deemed workers.
What should you do, which employment relationships have you identified in your platform? Think about how you need your drivers to work. Be aware of sham contracts, contracts must match the practice. Be mindful that a lack of contract does not determine the decision.
Graham Thomas – Ocado - IOC alternative vehicles group chair - to introduce clean air
‘We are seeing great news from Express.’ ‘Clean air, ultra low emission zone challenge, adapting in London and seeing Birmingham, Bath and more for Euro 6. Mindful of boroughs and zero emission such as Oxford making it tricky for national players working locally.’
DEFRA – Sam Harrison, National Clean Air Zones. Joint Air Quality Unit (JAQU) Clean Air Zones.
Central Govt clean air zones explained - direct from DEFRA. Sam opened with the legal requirement of nitrogen dioxide. Forty thousand deaths. Sam explained the classifications of the clean air zones between cars, vans, trucks, taxi, bus and coach. Bath, Birmingham, Sheffield, Manchester, Bradford, Bristol, Portsmouth and Tyneside timescales outlined. Grant money has been made available, we recognise the likes of HGVs do not turnover in short life-cycles.
David Landy Hermes – An operator view on Gas trucks for linehaul
Clients ask the CO2 journey value of their delivery. CNG is here now and we know what we can do with it. Sustainability is a priority for Hermes. We are one of the operators dealing with clean air. 640 million parcels, a covid year. We have the largest CNG fleet in the UK parcel sector. We have diesel, HVO synthetic diesel, CNG gas, electric vehicles, we have 32 EVs running out of Becton and starting next month more than a hundred electrics for parcel shop. David explained the material of CNG and the growing infrastructure of availability of the fuel. We chose gas as it has the green credentials. Driver acceptance of CNG, range anxiety is handled on our network distance, fill-ups are planned into the route. Drivers can fill up on route. Daventry on M1 is one of our regular fuel stops. We have found the Italian technology needs more rev but runs well. There is no diesel knock and great for urban environment. Distance for trucks for us has changed from 130k to 260k per year.
Clients love the message that goes with CNG and the CO2 journey of a parcel.
Talking gas cost, money talks, cost of gas against higher asset cost of vehicle, you need to use the truck 150k miles a year to break even and deliver the environmental benefit.
Andy Magromallis - Rico – IOC security group chair – to introduce theft and threat
Hand over the goods, collect knowledge and report. We are trying to protect our people and property in final mile, last mile.
A rhetorical question: Anyone been a victim of crime? Andy explained a personal experience of a knife attack. Looking at the long term impact of crime. If threatened at the roadside, do not fight, hand over the goods, collect knowledge and report. We are trying to protect our people and property in final mile, last mile. Andy spoke passionately about the coding of final mile crime and the game-changer that identifies parcel theft in final mile.
Superintendent Patrick Holdaway, City of London Police - Security in final mile
I am here to improve partnerships with business and raise national police standards. Organised crime and final mile. Identifying the crime, bringing a national view to parcel theft. Latest reporting has brought focus to theft of parcel. Theft from a motor vehicle used to scoop up every code of theft - from sunglasses to a final mile parcel. Parcel theft is new code to review final mile reality.
Clearly lots more delivery during COVID and vans less secure than trucks. The difference in opportunity from a van theft with chance of what goods were on board.
Patrick spoke communications, reporting theft and information sharing. Victim support and business impact statement helps the judge understand the crime in much better detail. Patrick explained National Business crime and getting the express courier message into govt.
Andy Magromallis Rico Logistics, chair of IOC security sub group