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Peugeot Boxer van being loaded

Warehouse costs: wage bill likely to rise

New Agency Workers Directive to impact business costs

Businesses, haulage companies and logistics companies using agency warehouse workers can expect a a potential 10% labour cost rise.

The rise is expected as a result of the Agency Workers Directive which is expected in spring 2010.

“Even with the economic downturn there is still going to be a labour shortage in some areas,” explained John Robb, group operations director, Driving Edge.

“This is due to immigrant workers returning home, lack of UK trained operatives and general competition for labour in other sectors of the economy. All these factors will, in addition to the new legislation, push up warehouse labour costs,” Robb added.

The new Agency Workers Directive will give agency workers the same terms and conditions as permanent staff once they have completed 12 weeks within the organisation.

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