More protection for workers on zero hours contracts

Does your business use zero hours contracts? Harrison Drury’s Employment team outlines the latest legal changes to come into force which offer more protection for workers on zero hours contracts.

As of 11 January 2016, The Exclusivity Terms in Zero Hours Contracts (Redress) Regulations 2016 will come into force.

Last year saw the introduction of a ban on exclusivity clauses in zero hours contracts. An exclusivity clause prevents an individual from working for someone else, even though under a zero hours contract the employer does not guarantee any hours of work.

The regulations are aimed at addressing avoidance of the ban by giving employees the power to make a complaint to the employment tribunal.

Any dismissal of a zero hours contract employee will now be deemed automatically unfair if the principal reason for the dismissal is because the employee breached an exclusivity clause.

There is no qualifying period for this type of claim, so individuals who have been employed for less than two years will still be entitled to bring a claim.

It is also unlawful to submit a zero hours worker (please note that this applies to workers, not employees) to a detriment if they work for another employer in breach of an exclusivity clause.

The government’s guidance on exclusivity clauses states:

“An employer must allow the individual to take work elsewhere in order to earn an income if they themselves do not offer sufficient hours.

“If an employer includes an exclusivity clause in a zero hours contract, the individual cannot be bound by it, the law states the individual can ignore it.

“An employer must not attempt to avoid the exclusivity ban by, for example, stipulating that the individual must seek their permission to look for or accept work elsewhere.”

If you have any questions regarding how these changes may affect you or your business, contact Harrison Drury’s Employment team on 01772 258 321.

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