ICTU: Thousands of 'bogus self-employed' in construction sector

The Irish Congress of Trade Unions says "bogus self-employment" is widespread in the construction industry.

ICTU says numerous construction sector workers are being wrongly classified as self-employed, instead of employees.

The body which represents workers and trade unions says "bogus self-employment" often leads to lower wages and poor conditions for workers.

ICTU estimates that the practice causes a loss of €80m a year to public finances as a result of construction contractors not paying a PRSI contribution for their workers.

ICTU's Industrial Officer for the construction sector Fergus Whelan, says Revenue should improve its system, to protect workers and increase tax take.

He said: "We thought we had this problem solved a few years ago, because we sat down with the Revenue Commissioners and we agreed a code of practice which would clearly indicate, in every particular circumstance, what an employee is and what a self-employed person is.

"The problem in the last couple of years has been that Revenue have paid no attention to this code of practice.

"As a result of that, thousands of people who should be working and operating in the construction industry as employess are operating as bogus self-employed."