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ZERO HOURS CONTRACTS

What are they? tHis is a type of work contract where the employer has discretion to vary the employee’s working hours from ‘full time’ to ‘zero hours’. typically the worker signs an agreement to be available as and when required and is paid only for work done. Is it common? it’s becoming more so. Latest figures from the Office for national statistics show the number whose main job is on a zero hours con- tract has risen by 19pc to 744,000 over the past year. this is still just 2.4pc of the workforce. in 2000 – the first year zero hours records were kept – it was 225,000. Sounds like a poor deal. tHat’s certainly what the trade unions say. Yesterday the tUc described the surge in these contracts as ‘a stark reminder of Britain’s two-tier workforce. it says the average weekly wage for zero hours workers is £188, compared with £479 for permanent workers. What do businesses say? tHE influential institute of Directors says they provide both employers and employees with more flexibility. they allow firms such as catering and event companies, and big shops to take on more staff during busy periods. the iOD also pointed out that these contracts helped to protect jobs during the downturn and that there is more protection for workers – with exclusivity clauses forbidding them to work for any other firms stamped out.