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Big rise in firms hiring staff on zero-hour contracts Big rise in firms hiring staff on zero-hours contracts
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Almost a quarter of Britain's major employers now recruit staff on zero-hour contracts that keep workers on standby and deny them regular hours. Almost a quarter of Britain's major employers now recruit staff on zero-hours contracts that keep workers on standby and deny them regular hours.
According to government estimates, 23% of employers with more than 100 staff have adopted the flexible contract terms for at least some staff following a surge in the number of public sector services contracted out to private providers.According to government estimates, 23% of employers with more than 100 staff have adopted the flexible contract terms for at least some staff following a surge in the number of public sector services contracted out to private providers.
Labour MPs and unions have branded the contracts as a throwback to the Victorian era and say they are being used by employers trying to avoid agency workers regulations, which entitle agency staff to the same basic terms and conditions as permanent employees after 12 weeks. Labour MPs and unions have branded the contracts as a throwback to the Victorian era and say they are being used by employers trying to avoid agency-worker regulations, which entitle agency staff to the same basic terms and conditions as permanent employees after 12 weeks.
The 2011 Workplace Employment Relations Study found that the proportion of firms with some workers on zero-hours contracts rose from 11% in 2004 to 23% in 2011.The 2011 Workplace Employment Relations Study found that the proportion of firms with some workers on zero-hours contracts rose from 11% in 2004 to 23% in 2011.
The contracts have long been popular with retailers including Sainsbury's, Poundland and Abercrombie & Fitch. Large charities and public sector organisations have also adopted the arrangements.The contracts have long been popular with retailers including Sainsbury's, Poundland and Abercrombie & Fitch. Large charities and public sector organisations have also adopted the arrangements.
A sharp rise last year in the number of zero-hour contracts in the health sector was blamed by unions on the government's privatisation of essential services, including radiology, which meant professional workers on such contracts found themselves tied to rotas that could be changed at 24 hours' notice. A sharp rise last year in the number of zero-hours contracts in the health sector was blamed by unions on the government's privatisation of essential services, including radiology, which meant professional workers on such contracts found themselves tied to rotas that could be changed at 24 hours' notice.
Employers say the contracts provide flexibility for workers juggling family commitments.Employers say the contracts provide flexibility for workers juggling family commitments.
However, many of the jobs advertised demand a high degree of knowledge and onerous responsibilities.However, many of the jobs advertised demand a high degree of knowledge and onerous responsibilities.
In a recent case the security firm G4S advertised for custody detention officers to work alongside Lincolnshire police officers on zero-hours contracts to oversee the safety of people held in custody and, if necessary, restrain them.In a recent case the security firm G4S advertised for custody detention officers to work alongside Lincolnshire police officers on zero-hours contracts to oversee the safety of people held in custody and, if necessary, restrain them.
Steve Evans, a spokesman for the Police Federation, said the deal, part of a partnership agreement signed last year, was an attempt to apply a business model to policing that kept a reserve group of workers employed on an ad-hoc basis.Steve Evans, a spokesman for the Police Federation, said the deal, part of a partnership agreement signed last year, was an attempt to apply a business model to policing that kept a reserve group of workers employed on an ad-hoc basis.
He said: "This can obviously create some dangers. Things can change rapidly in a custody environment – legislation, training, equipment and policies and an individual's experience and knowledge could quickly become out of date if they are not regularly working in the environment."He said: "This can obviously create some dangers. Things can change rapidly in a custody environment – legislation, training, equipment and policies and an individual's experience and knowledge could quickly become out of date if they are not regularly working in the environment."
Shadow Policing Minister David Hanson said: "The nature of the job is that the police can suddenly be busy handling a public order situation, so what checks are in the system to ensure staff are available for custody suites? Shadow policing minister David Hanson said: "The nature of the job is that the police can suddenly be busy handling a public order situation, so what checks are in the system to ensure staff are available?
"Any public-private partnerships must pass tough tests on value for money, on resilience and security, on transparency and accountability, and most of all on public trust. The public need to trust that policing is being done in the interests of justice not the corporate balance sheet." "Any public-private partnerships must pass tough tests on value for money, on resilience and security, on transparency and accountability, and most of all on public trust. The public need to trust that policing is being done in the interests of justice, not the corporate balance sheet."
G4S said zero-hour contracts allowed the company "to provide additional resilience to forces, and ensure they can respond effectively to peaks and troughs in demand, typically coinciding with major sporting events or music festivals". G4S said zero-hours contracts allowed the company "to provide additional resilience to forces, and ensure they can respond effectively to peaks and troughs in demand, typically coinciding with major sporting events or music festivals".
It said: "This pool of officers, less than 10% of the total number we employ, receive the same training as their colleagues on full-time contracts and their skills are kept up to date through regular work and training.It said: "This pool of officers, less than 10% of the total number we employ, receive the same training as their colleagues on full-time contracts and their skills are kept up to date through regular work and training.
The Labour Research Department, which studies employment trends, said there were occasions when a no-strings-attached arrangement might suit workers, "such as sometimes occurs with bank nursing or supply teaching. But it is increasingly being used to replace proper secure employment with its associated guaranteed level of paid work and other benefits."The Labour Research Department, which studies employment trends, said there were occasions when a no-strings-attached arrangement might suit workers, "such as sometimes occurs with bank nursing or supply teaching. But it is increasingly being used to replace proper secure employment with its associated guaranteed level of paid work and other benefits."
It added: "Even worse, it can be applied in such a way that a worker, in order to have any chance of getting paid work, is obliged to be available for work at the whim of the employer and so cannot commit themselves to any other employment."It added: "Even worse, it can be applied in such a way that a worker, in order to have any chance of getting paid work, is obliged to be available for work at the whim of the employer and so cannot commit themselves to any other employment."
Concerns that zero hour contracts amount to an attack on the terms and conditions of low paid and younger workers were compounded yesterday by speculation that the government plans to cut the minimum wage following a review by the Low Pay Commission. Concerns that zero-hours contracts amount to an attack on the terms and conditions of low paid and younger workers were compounded yesterday by speculation that the government plans to cut the minimum wage following a review by the Low Pay Commission.
No10 has hinted that the current minimum wage of £6.19 an hour could be cut alongside cuts in welfare benefits to ease the burden on employers while the economic situation remains weak. No 10 has hinted that the current minimum wage of £6.19 an hour could be cut alongside cuts in welfare benefits to ease the burden on employers while the economic situation remains weak.
Even in tough times, these one-sided agreements go too far
Not everyone on a zero-hours contract sits at home waiting for a call. Some employees can access a rota and sign up for as many hours as they want or are allowed. And once on the rota, the hours are secure. But either way, life on a zero-hours contract is a lottery.
It is shocking that figures show nearly a quarter of big employers use them. It is yet another signal, if one were needed, that the recession is hitting the low paid and the young more than we like to imagine.
In the catering and cleaning industries there are some employers who insist workers pay for their training and uniforms, and wait for a call to work on this ever more popular type of flexible contract.
It is not quite that bad in the newly privatised sections of the health and police services. The training is paid for, along with the uniform. But workers still cannot know from one day to the next how much work they will have.
Without an obligation to employ someone for even a minimum number of hours, employers have effectively indentured a member of staff, especially in areas of high unemployment. All the obligations are on one side of the contract. Yes, times are tough, but employers are going too far.