Zero Hours Contracts are all over the place at the moment. They have become widespread in recent years, possibly due to the, dare I say the R word? Single, double, triple dip recession! But what exactly do they mean for employers and employees?
The CIPD has recently published a fact sheet on Zero Hours Contracts following a report into their use in the UK, 2013. If you are wondering exactly what a Zero Hours Contract means, the official definition is as follows:-
‘an agreement between two parties that one may be asked to perform work for the other but there is no set minimum number of hours. The contract will provide what pay the individual will get if he or she does work and will deal with the circumstances in which work may be offered (and, possibly, turned down).’
Zero Hours Contracts are a great way of staffing in casual work environments, according to the CIPD, approximately 3% of the working population are employed under such contracts. In best practice, the contracts should offer the following:-
– Flexibility from both sides, in that there is no obligation for the employer to offer work, and neither does the employee have to accept the work offered.
– No exclusivity clauses within them – they should allow the employee to be employed for several companies under similar contracts as they wish, or maybe with “permission.”
– Should offer clarity on employee status – employee, worker or self-employed.
– Should offer clarity on the employees’ rights, benefits etc, although this would be decipherable by looking at the employee status, it IS best to make this apparent.
If you need any help with either recruiting for zero hours roles or with writing or defining zero hours contracts, don’t hesitate to let us know, we at HR Revolution can help you with both!
hours-contracts-are-detrimental-to-health.aspx (Zero-hours contracts: myth and reality, CIPD, 2013)
HRREV Blogger, HR Revolution | HR Outsourcing UK