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Evasion by Abuse of C-hiring Margin

12th October 1951
Page 40
Page 40, 12th October 1951 — Evasion by Abuse of C-hiring Margin
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Which of the following most accurately describes the problem?

AAANUFACTURERS in the London al area have been approached by an agent who gives a South-east Metropolitan postal-district address and offers return-load facilities with vehicles operating under C-hiring margin. In a letter to one company in Middlesex he wrote:— . " I am bringing together vehicles already hired under C-contract licence loading into London from the north of England and Scotland, and manufacturers in London requiring C-contract hirefor loads to go back to the north.

"It has been decided that it is legal for me, on receipt of a written authority from the licence-holder (the manufacturer), to pay the driver's wages, attend to P.A.Y.E. and insurance stamps, etc.

"The service obtained by the manufacturer under this system is definitely better and cheaper. the vehicles running regularly, as the manufacturer at each end of the journey knows when to expect the vehicle and has his load ready accordingly.

"The financial position will be -as follows:—I' submit to the manufacturer invoices and statement for one month's work: The statement will have the month's wages, etc., deducted and the manufacturer will pay me two cheques, one for haulage and one for wage% " An all-in rate will be quoted by me and this will definitely be lower than those quoted by British Road Services."

These proposals are of extremely doubtful legality. Any company entering into such an agreement may become liable to prosecution. Realizing the nature of the facilities offered, some prominent -manufacturers have rejected any idea of entering into such arrangements.

RILE. MISLEADING PUBLIC

THE National Chamber of Trade, at its autumn conference at Malvern, last week, declared that the continued use by the Road Haulage Executive of the names of undertakings which had been acquired was undesirable and mis-..;eading. Representations against this practice were to be made.

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Locations: London

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