Staffing
Hiring your first plant hire employee
When to take on your first employee, which role to hire first, and the legal steps before day one: payroll, right to work, insurance, contracts and pensions.
Key takeaways
- Hire when your own time is the thing stopping growth, not just when you're busy.
- Most small hire firms hire a driver/yard person first, then a fitter or operator.
- Before day one: register as an employer, check right to work, and arrange employers' liability insurance.
- Give a written statement of terms from day one and set up a workplace pension for eligible staff.
- Employment status depends on how someone actually works, not what you call them.
When to hire
- You're turning down hires because you can't deliver them.
- Admin and quotes are going unanswered.
- Machines are waiting for servicing.
- Your forecast shows the extra hire income covers the full cost of the role, including employer costs.
Who to hire first
| Role | Hire when | Look for |
|---|---|---|
| Driver / yard person | Deliveries are your bottleneck | Right licence category, load securing experience, reliable |
| Fitter | Breakdowns and servicing eat your time | Plant experience, own tools, diagnostics |
| Operator | You're adding operated hire | Blue CPCS or NPORS card in the right categories |
| Admin / bookings | Calls and quotes are missed | Organised, good on the phone, systems-minded |
Legal steps
- 01
Register as an employer
With HMRC before the first payday; run payroll and report pay each time.
- 02
Check right to work
Before they start, using the GOV.UK checks; keep records.
- 03
Employers' liability insurance
Compulsory, minimum £5 million; display or share the certificate.
- 04
Workplace pension
Automatic enrolment for eligible employees; tell The Pensions Regulator.
- 05
Health and safety
Risk assessments covering their work; training and PPE.
Contract and pay
- A written statement of employment particulars on or before the first day.
- At least the National Minimum Wage or National Living Wage; check current rates on GOV.UK.
- Paid holiday entitlement, working hours, overtime and on-call arrangements.
- Driving responsibilities, licence checks and what happens if they get points.
- Clear rules on company vehicles, phones and fuel cards.
Employed or self-employed?
Many plant firms use self-employed operators and drivers. That can work, but status depends on the real working relationship: who controls the work, whether they can send a substitute, who provides equipment, and whether they're in business on their own account. Getting it wrong can mean backdated tax, National Insurance and employment rights. HMRC's online status tool is a useful starting point. Operated hire with subcontracted operators also brings CIS; see VAT, PAYE and CIS.
Onboarding
- Induction: yard rules, emergency procedures, accident reporting.
- Training on your procedures: pre-delivery checks, loading, off-hire, paperwork.
- Check and record licences and cards; set expiry reminders.
- Give them access to your booking system so jobs and checks are recorded.
FAQs
Common questions
Who should a plant hire company hire first?
What do I need to do before employing someone?
Can I use self-employed plant operators?
Keep going
Related guides
VAT, PAYE and CIS for plant hire businesses
When to register, and how CIS treats operated and bare hire.
Read guide →
CPCS, NPORS and plant operator cards explained
Red and blue cards, NVQs and what to check at handover.
Read guide →
Health and safety for plant hire companies
Policy, risk assessments, RAMS and RIDDOR.
Read guide →
Plant hire insurance explained
The cover a hire company needs and the conditions that bite.
Read guide →
This guide is general information for people setting up a plant hire business in the UK. It is not legal, tax, insurance or financial advice. Rules and thresholds change, so check current guidance on GOV.UK and take advice from an accountant, solicitor or broker before acting.