BBC understands that agency workers will soon be protected from “exploitative” zero-hour contracts through amendments to the government’s employment reform bill. This change will require agency workers to have contracts that guarantee a minimum number of hours each week. The update will be officially detailed on Tuesday as part of the Employment Rights Bill.
In addition to the new protections for agency workers, individuals opting for zero-hour contracts will be eligible for compensation if their shifts are altered at short notice. The exact definition of “short notice” remains unspecified at this time. Hailing a significant development, the Labour government had promised to outlaw “exploitative zero-hours contracts” last year.
The adjustments to the bill will determine the minimum hours guaranteed in a contract for agency workers based on their average working hours. While there is debate on whether this calculation will span a 12-week reference period or longer, trade unions are fighting for the inclusion of agency workers in these changes to prevent employers from circumventing the zero-hours contract regulations by hiring agency staff. Although unions welcome this change, the Recruitment and Employment Confederation expressed concerns about potential implications for workers’ flexibility.
Employers engaging in “fire and rehire” practices will face harsher penalties under the upcoming amendments, with penalties set to double. This move aims to ensure proper consultation with employees before making significant changes to their terms of employment. Additionally, sick pay will be extended to workers earning under £123 per week from the first day of illness. The government’s proposal to streamline trade union recognition and industrial action rules has met with criticism from business groups, raising concerns about the legislation’s practical implications
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