Workers on zero and low-hours contracts could gain greater certainty over their working patterns under new government proposals designed to improve job security and income stability.
The plans would give employees who regularly work more hours than their contract guarantees the right to request a contract that better reflects their usual hours. This entitlement could arise after an initial 12-week reference period.
The government’s preferred approach is to introduce a guaranteed baseline of hours, giving workers more predictable earnings and making it easier to plan household finances.
The new right would apply both to people on zero-hours contracts and those working under low-hours arrangements. Ministers are still considering where the threshold for low-hours contracts should be set, with options ranging from eight to 20 hours a week.
The proposals form part of Labour’s wider employment reform programme and its commitment to tackle what it describes as exploitative zero-hours contracts.
Supporters argue that the changes could give workers more stability, particularly where they have built up a consistent working pattern but remain tied to a contract offering little or no guaranteed income.
However, several important details have yet to be settled. The government is still consulting on how guaranteed hours should be calculated, how seasonal work should be treated and what should happen once the initial 12-week assessment period ends.
Business groups have warned that the plans could create difficulties for sectors such as retail and hospitality, where staffing needs can change significantly throughout the year.
Employers are particularly concerned that a 12-week reference period may capture temporary peaks in demand, potentially requiring businesses to guarantee hours that are no longer needed later in the year.
There are also concerns that reduced flexibility could make employers more cautious about recruitment, with younger and less experienced workers potentially finding it harder to secure entry-level roles.
Enforcement arrangements are also still taking shape. The proposed Fair Work Agency could oversee compensation for shifts that are cancelled or changed at short notice. However, workers seeking guaranteed hours may still need to bring claims through an employment tribunal.
The consultation remains open until August. While the direction of travel is clear, the final impact will depend heavily on how the government balances greater security for workers with the flexibility many businesses say they still need.
