Ban on exclusivity clauses to be widened
The Government has confirmed it intends to follow through with its plans to ban exclusivity clauses in zero hours contracts. The findings from the public consultation launched last August and concluded in November has led the Government to propose the introduction of further, related legislation.
The consultation’s findings show that many believe if a ban on exclusivity clauses is introduced some employers would seek to get around the restriction by providing employees with contracts that guarantee a few hours’ work. Another key concern was employers who treat zero hours workers poorly where they turn down the chance to work additional hours.
The Government has said it will introduce legislation that allows zero hours workers to make a complaint to an employment tribunal where an employer has treated them poorly because they have worked for another employer. Employers who are found liable for such treatment will have to pay the worker compensation and may receive further fines if their treatment of the worker was particularly severe.
There will also be new legislation to deal with employers who try to get around the ban on exclusivity clauses. All employment contracts will be subject to a ban on exclusivity clauses if the worker’s minimum weekly income is not guaranteed and the rate of pay is less than £20 an hour. The protection against detrimental treatment will also extend to these workers.
One solution proposed during the consultation – to set a threshold on the number of hours that should be worked – was rejected. The Government could not decide on the appropriate number of hours and felt this solution would not provide benefits for either employers or workers. However, a threshold that combines both hours and income may yet be introduced.