Ask the Expert: Z is for... Zero Hour Contracts

By nature, a zero hours contract means that the employee is not guaranteed any work or a set number of hours per week or per month. This allows a degree of flexibility that a permanent contract of employment does not and can be especially useful in certain industries, for whom flexibility is of particular importance. It also provides affordability for those individuals who require flexibility for any number of reasons.

It is worth noting that a zero hours contract has been under much scrutiny and is the subject of part of the draft Employment Rights Bill, as set out by the Government. The proposals put forward are to prohibit the abuse of zero hours contracts by, in general terms, allowing the employee a right to a guaranteed hours contract if they work regular hours in a reference period.

It is worth noting that these changes are not yet implemented and are subject to ongoing consultation and debate (in particular around the reference period referred to above). It is likely this will take some time, but employers should be aware of the proposed changes, and once the legislation is in final form, ensure they are aware of their new duties in relation to zero hours contracts and how it will impact their organisation.