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Exclusivity clauses to be banned in zero hours contracts

David Reid
15th Sep 2014

The business secretary, Vince Cable, has announced proposals that exclusivity clauses in zero hours contracts will become void and unenforceable.

 

Exclusivity clauses are used where an employer seeks to prevent a zero hours worker from working for any other employer whilst engaged on a zero hours contract. This has been criticised on the basis that it seeks to prevent workers from obtaining work from other employers in circumstances where the zero hours contract provides no guarantee of work or pay each week.

 

The government maintains that whilst the majority of zero hours contracts are used responsibly, some abuse does take place. The government is also considering imposing civil penalties on employers if they are found to have treated a worker unfairly for finding work elsewhere while on a zero hours contract.

 

In a bid to ensure that the proposed crackdown is effective, the government is currently seeking views from businesses, trade unions and individuals on the best way to prevent avoidance of the exclusivity clause ban. This consultation will close on 3 November 2014.

 

You can read the consultation paper here.

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