There has been a tremendous amount in the news recently about zero hours contracts. This has primarily come about because there is a belief that employees are being abused.
However, they can be very helpful.
Let’s unpick them in more detail…
- Flexible – enabling you to engage a worker as you need them
- Cost effective – you are not required to pay an individual when they are not working
- Employment legislation obligations – a number of employment rights you have for a salaried member of staff may not apply if there are breaks in their contracts
- Efficient – this can prove very effective for your business, enabling you to gear up during busy times, but not have excessive costs when the business is quiet
- Works well in retail, hospitality and care sectors
- Offers the worker the opportunity to work around other commitments
But, it isn’t all good news:
- The worker is not obliged to accept your offer of work, so there will be uncertainty on your part
- Skills – unless the worker has worked for you before you do not know their skills and abilities, and if they will fit in with your team
- Consistency – quality control can be a challenge if you use a number of workers
- Retention – unless you are prepared to offer good workers a more permanent solution you stand the risk of losing them, when you are not able to offer them hours
This can be a minefield, and it is essential that the contract is drawn up properly. For more guidance on this, please contact us on 01256 328 428.