Government review of zero hours contracts — missing the bigger picture

In 2014, the government responded to growing political pressure by conducting a review of the spread of ZHCs. Unions participated in the review but were strongly critical its very narrow focus and of the failure to address the wider threat of developing casualisation. Instead, the review addressed just one issue — “exclusivity clauses”. These are contract terms that prevent a worker working elsewhere, even if their employer does not promise to provide any hours. Clearly, a term of this kind is pernicious. However, only a small minority of ZHCs contain this kind of term.

In practice, ZHC workers keep themselves free to work for their employer not because they are legally obliged not to work elsewhere, but rather because if they turn down work, there is a risk that future shifts will not be offered.

In any event, the government has now announced that exclusivity clauses will be banned, in a forthcoming Small Business Enterprise and Employment Bill. The government is consulting on ways to prevent avoidance of the exclusivity ban by employers who might be tempted to get around it by, for example, providing just one hour of work.

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/347034/bis-14-992-zero-hours-employment-contracts-exclusivity-clause-ban-avoidance.pdf