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by Munro Research

Zero Hours Contracts Bill


Official Summary

A Bill to prohibit the use of zero hours employment contracts.

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Overview

This bill aims to abolish zero-hours contracts in the UK. It would make such contracts illegal and require employers to offer employees fixed-hour contracts instead.

Description

This bill prohibits the use of zero-hours contracts, defined as contracts failing to guarantee working hours and exhibiting at least one of the following: requiring availability without guaranteed work; requiring exclusive work for one employer; and failing to offer a contract with regular hours after 12 weeks of employment. Existing contracts with these features would become void. Employers must then offer a contract with fixed and regular working hours, the specifics of which will be determined by regulations approved by Parliament. The bill clarifies "worker" and "employed" for legal purposes, placing the burden of proof on the employer in disputes.

Government Spending

The bill does not directly specify government spending figures. However, enforcement, potential legal challenges, and the development of regulations will likely incur costs. Additionally, the impact on government benefits could change as employment patterns shift. No specific figures are provided in the bill text.

Groups Affected

Workers currently on zero-hours contracts: Could benefit from guaranteed hours and greater employment security.
Employers using zero-hours contracts: Would be legally prohibited from using them and may face costs in transitioning to fixed-hour contracts.
Government: Will be responsible for enforcing the new law and potential additional costs in social security and benefits.
Legal professionals: May see an increase in work related to disputes surrounding the transition to fixed-hour contracts.

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