Employment e alert zero hours workers no longer have zero protection

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Zero hours workers no longer have zero protection The Issue

Employment E-alert January 2016 Contact the authors:

In zero hours contracts a worker agrees to work for an employer but the employer does not guarantee the worker any work or hours. Historically, these zero hours workers have had little employment rights protection. Exclusivity clauses in zero hours contracts stopping workers from working for another employer were banned from May 2015. As of January 2016, zero hours workers and employees are able to enforce the exclusivity Carolyn Brown Partner, Head of Employment clause ban because: T: +44 (0)20 3755 5390 1.

It is now unlawful to subject a zero hours worker to a detriment (such as fewer future offers of hours or even no future offers) if they work for another employer in breach of an exclusivity clause

2.

If a zero hours employee (not worker) is dismissed because they worked for another employer, the dismissal is now automatically unfair. There is no minimum service requirement for this unfair dismissal right, unlike ordinary unfair dismissal where employees must have two years unbroken service to succeed.

In both cases, claims can be brought in the Employment Tribunal.

E: carolyn.brown@howardkennedy.com

Susie Al-Qassab Associate, Employment T: +44 (0)20 3755 5357 E: susie.al-qassab@howardkennedy.com

Guidance 1.

Employers who use zero hours contracts should review any zero hours contracts to remove exclusivity clauses so as to avoid these claims

2.

Employers using zero hours contracts should consider whether some fixed or guaranteed hours can be offered to zero hours workers and employees to take them out of scope of the ban on exclusivity clauses. Anti-avoidance measures relating to minimum guaranteed hours/income thresholds were not addressed in the new regulations, but this is still under consideration so should be kept under review

3.

Given the reputational impact of zero hours contracts, consider confirming to casual staff that their arrangements are legally compliant and re-labelling any contracts that are wrongly labelled “zero hours”

4.

Manage carefully the employment status of casual staff as some may have the higher status of employee and so have the full range of employment rights and protection.

If you would like more information on our services, please visit www.howardkennedy.com here you will find all our latest news, publications and events. This material is for general information only and is not intended to provide legal advice. © Howard Kennedy, 2016


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