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Blog  »  July 2014  »  New Measures for Zero-hours Contracts - Blog
Jul 14

Posted by
Victoria Clarke

New Measures for Zero-hours Contracts

Employees on zero hours contracts will have the freedom to find work with more than one employer after Business Secretary Vince Cable announced plans on 25th June 2014 to ban exclusivity clauses. This action follows a government consultation into zero hours contracts which received over 36,000 responses, with 83% were in favour of banning exclusivity clauses in zero hours contacts. Exclusivity clauses prevent an individual from working for another employer, even when no work is guaranteed.

The ban, set to benefit the 125,000 zero hours contract workers estimated to be tied to an exclusivity clause, is part of a bid to clamp down on abuses in the workplace by less scrupulous employers. As a result, it will allow workers to look for additional work to boost their income should they wish to do so.

Speaking on the subject, Business Secretary Vince Cable said "unscrupulous" firms had abused the flexibility offered by the contracts. "For many workers this is a perfectly sensible arrangement. But a lot of people on such contracts aren't sure what their rights are and we want to make them more transparent so people know what their rights are," said Mr Cable.

Despite unions and campaign groups pushing for zero-hours contracts to be banned, Mr Cable stated they do have a place in the labour market, creating work opportunities for students and older people.

Cable also revealed the Government is opening a consultation on how to stop rogue employers evading the ban through measures such as offering one-hour fixed contracts.

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Posted in Employee Contracts, Employment Contract


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