Rise in Zero Hours Contracts for UK Workforce

New research reveals one million Britons are working under zero-hours contracts.

A recent survey of 1,000 employers by the Chartered Institute of Personnel and Development (CIPD), has revealed that one in five employers use zero hours contracts for at least one staff member.

The figures from the CIPD, are in fact four times higher than the figures from the Office of National Statistics (ONS) who last week suggested that 250,000 people were working on zero hour contracts.

The CIPD has revealed that 3-4 % of the entire UK workforce is employed under zero-hours contracts, equating to an estimated one million people. The employees contracted under these conditions were most likely to be between the ages of 18-24, working on average 20 hours per week.

For some people looking for flexibility in their employment, zero hours contracts can of course be an ideal solution. However for many working on these contracts they are faced with unpredictability in their shift patterns and variable wages. Around 14% of affected staff said that they could not earn a basic standard of living according to the research from the CIPD.

While a welcome reduction in unemployment figures was recorded in the three months to May this year as the number of people out of work fell by 57,000 to 2.51 million, on the other hand the number of people on zero hours contracts is now at an all-time high according to the CIPD, which as Frances O’Grady of the Trades Union Congress argued:

“The fact that zero-hours contracts have increased across the economy is further evidence of how tough it can be for people at work… People are being made to feel grateful for any kind of employment regardless of the pay, terms and conditions.”

As an employer, here at We Fight Any Claim (WFAC) we offer full time, permanent contracts to anyone joining the WFAC team. We value the importance of stability for employees which means that we offer our staff 40 hours per week, modular training and are currently working with the Welsh Government to provide future training and progression opportunities within the business.

As economic optimism returns to the UK with the National Institute for Economics and social research (NIESR) anticipating economic growth of 1.2% and 1.8% in 2013 and 2014 respectively, we hope that businesses and employers will soon have the confidence to employ their staff on more structured contracts ultimately working to eradicate uncertainty and instability for employees who have been forced to take on zero hours contracts or otherwise face unemployment.