They are obviously popular with employers, but last month Labour MP Andy Burnham said his party should introduce a ban on these types of contracts if it is re-elected. Do you think zero-hours contracts leave workers open to exploitation, or do these kinds of arrangements offer real benefit to both employer and employee?
HR magazine asked two experts if they think zero-hours contracts leave workers open to exploitation, or do these kinds of arrangements offer real benefit to both employer and employee?
Yesterday Mike Williams, director of people development at DeVere Hotels and Village Urban Resorts gave his thoughts. Today we hear from Kevin Green (pictured), chief executive of the Recruitment and Employment Confederation.
"The Labour party and some sections of the media are quick to jump on examples where zero-hours contracts have been implemented poorly. Many of these cases are less about the type of contract and more about the employer's attitude and treatment of their employees.
The suggestion from Andy Burnham to ban these sorts of contracts is nonsensical. If this happens, where will they decide to draw the line on all forms of flexible working that play an important role in getting people into work and keeping unemployment much lower than our international competitors?
Zero-hours contracts account for less than 1% of the jobs market so it is important that this issue is kept in perspective. However, they have ensured our businesses can flex their staffing where demand fluctuates.
Take the example of companies that employ drivers in this way. If all the driving staff were on full-time contracts the fluctuations in demand would leave the businesses with too little work for the staff. The organisation would become uncompetitive and perhaps go under with the loss of all the jobs in the firm.
Zero-hours contracts can work for both sides. If the employer is open with the employee about how much work they can expect before they sign the contract and engages in clear communication during the contract period, then the agreement should work for both parties.
It is also important to emphasise that workers can exercise control over the number of hours that they choose to work and can turn down work to fit in with other responsibilities.
These contracts have kept workers in jobs during a period of economic uncertainty and, if conducted in a professional and open way, offer benefits for both employer and employee."
