Agency workers are set to be included in a ban on “exploitative” zero-hours contracts as part of upcoming changes to the UK government’s employment bill. The new rules will require employers to offer agency workers a contract that guarantees a minimum number of working hours per week, according to the BBC. Additionally, agency workers who opt for zero-hours contracts will be entitled to compensation if their shifts are changed at short notice.
This move is among several amendments to the employment rights bill, which is expected to be presented on Tuesday. Labour has repeatedly pledged to end exploitative zero-hours contracts. However, the government has yet to decide whether the minimum hours in a contract will be based on a 12-week reference period or a longer time frame.
More than 1 million individuals in the UK work under zero-hours contracts across sectors such as hospitality, warehouses, and the NHS. Many work on zero-hours contracts despite being with the same employer for extended periods, according to the Trades Union Congress (TUC).
Unions have advocated for the inclusion of agency workers in the ban, arguing that employers might circumvent the zero-hours contract restrictions by hiring agency workers instead. There are approximately 900,000 agency workers in the UK.
However, there are concerns that the new rules could undermine the flexibility that zero-hours contracts offer some individuals. Major recruiters and staffing companies, including Hays, Adecco, and Manpower, have expressed that the new rules are “unworkable” and could lead to reduced hiring levels and delayed projects, with more work being undertaken by self-employed individuals.
The changes to the employment rights bill also include provisions for 1.3 million of the lowest-paid UK workers to be guaranteed sick pay worth up to 80% of their weekly salary from the first day of illness. The UK currently has one of the lowest rates of statutory sick pay among developed countries.
Source: https://www.theguardian.com/uk-news/2025/mar/04/uk-ban-on-zero-hours-contracts-agency-workers-employment-rights-bill
