Zero hours contracts consultation closes

The Government’s consultation on zero hours contracts has now closed, having received more than 30,000 responses.

The 12 week consultation was launched in late December 2013 by Business Secretary Vince Cable, following a review of evidence on the extent of the use of zero hours contracts conducted last summer.

The consultation focused on two key issues that were raised in the summer review:

• Exclusivity. A small number of businesses who engage people on these contracts insert clauses into the contract (or tell people) that they cannot work for another employer
• Transparency and information advice and guidance. In some cases people engaged on these contracts were not aware of the fact that there was a possibility they could be offered no work. Businesses did not make this clear when advertising or interviewing people for jobs or in the employment contracts themselves

The Government has said that it recognises that a growing number of employers and individuals are using zero hours contracts. The latest ONS estimates put these at 580,000, but further detailed estimates are expected soon.

These contracts are one of the flexible arrangements that give individuals more choice to combine their work with other commitments, said the Government, but it was clear from the review BIS conducted over the summer that there was some abuse.

The Government intends to crack down on any exploitation of individuals in the workplace and this consultation is the first step in that process.

The Government is to publish its response to the consultation in due course.

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