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The PCG has hit out at a recruitment agency for accidentally leaking the names and contract rates of thousands of its contractors to a bank, however it is the 'knee-jerk' reaction of the Unite union which has seemingly caused the most alarm.

According to the contractor organisation, around 3,000 contractor names and contract rates were attached to an email sent via Hays to contractors working for the Royal Bank of Scotland. The aim of the email was to remind managers to complete contractors' timesheets prior to the August Bank Holiday weekend.

Although PCG members are understandably angered by the leak and the potential data protection issues it has created, it is the reaction of the Unite union which has caused the most anger amongst contractors.

A national officer of the union used the leak to attack the bank for engaging contractors and was quoted as saying "Unite has serious concerns about the widespread use of highly-paid staff on short term contracts at a time when RBS continues to cut large numbers of staff."

Reacting to the Unite response, the PCG deputy chairman, James Collings said:

"We are disturbed that Unite seems to have taken some of the confidential information from the leaked document and used this to attack both RBS and the UK's 1.4m freelance businesses.

"This attack displays a fundamental lack of understanding of the business relationship between contractors and their clients - contractors are not client's 'staff' at all and receive none of the benefits given to employees and indeed have to provide those benefits for their own staff.

"RBS, in common with many organisations throughout the UK see the merit in using a skilled and flexible freelance work force when and where there is a demand for their talent and paying these businesses a market rate.

"Indeed, one in 20 people in the workforce now work as freelancers and equating day rate to salary as Unite did shows little comprehension of this model.

"I believe Unite should look after its members instead of trying to discredit, demean and degrade the freelance community."