Protesters are set to descend on the headquarters of Hudson Contract Services in Bridlington, Yorkshire.

M&E sites have already been disrupted this week as the Government’s crackdown on false self employment swings into action.

The union is now turning the spotlight on payroll companies which are commonly used throughout construction.

Rob Morris Regional Secretary for UCATT Yorkshire Region, said: “Our members are angry that payroll companies are responsible for denying thousands of construction workers their rights.

“This protest is taking the union’s campaign against payroll companies directly to their front door.”

Hudson confirmed to the Enquirer that it would be referring the matter to its lawyers over “factually incorrect” statements in Ucatt’s press release.

The Government changes will require more construction workers employed via an intermediary like an agency or a payroll company to be paid directly through PAYE.

The move will add up to 25% to labour costs as firms face higher NI payments and holiday pay.

One industry expert said: “Contractors are reacting in three different ways to this.

“Some are taking it on the chin and changing while others are just ignoring it and hoping the tax man won’t come after them.

“The third way is to set up an umbrella company with a payroll firm which is causing grief on sites.”