
The headlines have been dominated by zero hours contracts in recent months, prompted by a CIPD report claiming 1m workers are on zero-hours contracts. It is alarming this figure is far more than the 250,000 official estimate from the Office for National Statistics (ONS), and has now generated interest from government bodies and politicians alike.
Vince Cable, the Business Secretary commented on the controversial contract method saying ministers could legislate to allow people on zero-hours contracts to work for more than one employer. While he ruled out categorical banning of the controversial contracts altogether, he said the Government was looking to prevent employers from requiring people to work for them exclusively, unless they were prepared to guarantee their hours. More recently Labour held a zero hour’s summit. The summit was called in order to discuss zero hours contracts, prompted by further results from an Office of National Statistics survey, suggesting that employees on zero-hour contracts are being paid 40 per cent less than employees on other contracts. This has now led to Labour leader Ed Miliband outlining his party’s formal stance on the issue and unveiling a series of measures which – if elected – Labour would implement.The current landscape
Zero hours contracts are growing in popularity. As a consequence of the tough economic conditions of recent years employers are increasingly seeing them as a cost-effective and easy solution to staffing issues and managing resources in line with fluctuating customer demand.Image source
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