Exclusivity clauses and zero hours contracts

The CIPD has recommended that the Government ban employers from using exclusivity clauses for zero hours contract workers unless they can demonstrate a compelling business reason for using them.

The recommendation is included in the CIPD’s response to the Government’s consultation on zero hours employment contracts, which recently closed.

The CIPD also recommends the Government consider introducing a right for zero hours contract workers to request a minimum number of hours per week after they have been working for an organisation for at least 12 months.

In addition, the CIPD is calling for an amendment to the Employment Rights Act to require that workers and not just employees have the right to receive a written copy of their terms and conditions not later than two months in employment. This would help provide greater clarity on behalf of both parties on the issue of employment status and the associated employment rights.

Ben Willmott, Head of Public Policy at CIPD, commented:

“Our research reveals that zero hours contracts can work well for both employers and individuals on these types of working arrangements, providing valuable workplace and labour market flexibility.

"However, our research also flagged that bad practice does exist. Our consultation response sets out what CIPD believes should be done to ensure that zero hours workers don’t feel they are being exploited.”

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