Hello there, and sorry that it has been a while. Since I last posted on the blog, I have been doing some consultancy work for a careers provider, working on series 2 of the “What Exactly Do You Do?” podcast, as well as a few projects away from Karuna CV. Here is a post that I wrote recently for LinkedIn, which reflects upon the Gary Lineker furore, considering the implications for workers’ rights.
The headlines at the start of last week were dominated by the row over Gary Lineker’s suspension from the BBC’s flagship sports programme Match Of The Day. In case you missed it, Lineker is a former England footballer and the lead presenter of the show, drawing a handsome salary of over £1m per year. He works as freelance and therefore is not a direct employee of the BBC; he also presents on other channels, and has other media interests including a production company. This particular row focused upon his work at the BBC, and whether he broke the Corporation’s impartiality rules with a comment on Twitter about immigration policy.
This article is not about the politics of the situation, nor even the impartiality policies of the national broadcaster; these are covered elsewhere by people with more knowledge and authority than me (as well as quite a few people who are keen to voice their thoughts on social media). Suffice to say, there were statements issued by the BBC and Lineker earlier this week, which seemed to indicate a truce, and normal service was resumed after a few days of disruption.
Employment vs freelancing
The main thing that struck me about this situation was how it was influenced by the working arrangements. Lineker is a freelancer, and although it seems as though his primary contract of employment is with the BBC, that essentially means that he provides services (presenting a TV programme) in exchange for a salary. A whole host of other broadcasters and commentators also withdrew their labour in support of Lineker’s predicament, which could have had material (financial) consequences for them, as many of these folks are self-employed as well. Why is it different for employees vs freelancers?
Essentially, it boils down to employment law: if you are an employee, suspension is a neutral action; employers may suspend an employee on full pay while they investigate a situation (there are possible exceptions, for example, gross misconduct could lead to immediate dismissal). If you are a freelancer, the usual equation is that if you don’t work, you don’t get paid. I have grossly oversimplified both sets of circumstances above, and you will see why below.
Gig economy
With the rise of the gig economy, we see a number of people who have regular work, but paid on a freelance basis; people immediately think of Uber drivers and Deliveroo riders (again, both of these groups have had their own headline-grabbing issues). There are pros and cons to this: generally, workers like this as they get more flexibility to work more hours when they need to, and are less beholden to a regimented timetable as long as the work gets done; employers also like the flexibility, and they save money on NI and many other employment-related elements e.g. insurance.
Last year I mainly worked as a paid employee but also did a small amount of work as a freelancer. As an employee, I get some paid leave when I am unable to work due to illness, and I also get an allocation of time off for holidays, without losing salary. As a freelancer, my hourly rate is higher on the surface, but I get no holiday or sick pay, and I have to keep money aside for my tax return, pay for my own costs such as insurance and professional memberships, and buy my own equipment*.
What does this have to do with Gary Lineker, or me?
Naturally, if you are earning a lot of money, this buys you more choice, and if Lineker wasn’t paid while he was suspended, he can probably absorb the hit to his bank balance. What about the commentators? They certainly don’t earn millions, and all the preparation work that they do before a weekend of football is essentially unpaid, or at least absorbed into the fee that they receive for the commentary; therefore, if they don’t work on the day, they are effectively in “negative equity”.
If you are an Uber driver, a freelance graphic designer, or copy writer, you may not feel able to take a stand in the way that Lineker’s colleagues did. Losing a day’s wages when you have already done lots of work towards the project might not be financially viable.
At the time of writing, we are also seeing workers in education, health and the civil service (amongst others) going on strike over pay and conditions, ironically including salaried BBC journalists protesting about reforms to local radio. Despite newspaper headlines, it is worth remembering that, even if you are a salaried employee, going on strike means foregoing a day’s pay, plus any benefits that are linked to your employment e.g. holiday entitlement and pension contributions.
Conclusion
Over the years that I have been working as a careers professional, I have observed the rise of the freelancer economy, and working for yourself is a possibility that I often promote to my clients (and there have also been various public and private initiatives to encourage people to start their own business).
The Lineker episode has reminded me of the balance between risk and reward when you are working. As a salaried employee, and you can be fairly certain about your earnings, rights and conditions. However, if you are a freelancer, you have the ability to potentially earn to your maximum potential, but the risks are arguably greater.
In my life and career, I have met many people who prefer the safety net of steady employment, and also know quite a few who much prefer working for themselves. Personally, this is why I have stayed with only one foot in freelancing – I am hoping to achieve the best of all worlds; but what does that look like for you?
* There are insurance policies and tax breaks available to cover some of these potential costs; organisations like IPSE, and accountants who specialise in small business and freelance work may be able to give you some information and advice.
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