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.