Companies operating in the "gig economy" were dealt another blow today when an employment tribunal determined that a bicycle courier was entitled to holiday pay.

In yet another ruling against companies that designate staff as self-employed contractors, the London Central Employment Tribunal ruled that Excel should pay courier Andrew Boxer one week's holiday pay or £321.16.

Self-employed contractors should provide their own tools and have the freedom to work when they please. Mr Boxer had been classed as self-employed because he provided his own tools, including a bike, mobile phone and protective clothing.

But the tribunal said he should have been classed as a worker given that he had to work five days a week, was paid a fixed rate and had to give notice for time off, among other reasons. Excel also gave him a radio and handheld computer.