Employment Law News

Government launches consultation on loopholes in ban on exclusivity clauses in zero hours contracts

After the controversy surrounding zero hours contracts, the Government is proposing to ban employers from using exclusivity clauses in them. On 25 August 2014, the Government launched a consultation to examine the potential loopholes employers could use to get around its proposed changes to the Small Business, Enterprise and Employment Bill.

Given that zero-hours contracts are likely to be different depending on the sector in which they are being used, the Government has also announced that it would like sector-specific codes of practice on the fair use of zero hours contracts and would like unions and business representatives to work together (with Government support) to develop these.

The consultation will close on 3 November 2014.

BIS: Zero Hours employment contracts: tackling avoidance of the exclusivity ban