More than 1 million workers across the UK remain on zero-hours contracts, with hundreds of thousands trapped in the same insecure roles despite long service with their employers, according to new analysis from the Trades Union Congress (TUC).
The study found that about 720,000 zero-hours contract workers have been with the same employer for more than a year, while 130,000 have been in the same role for over 10 years without being granted permanent employment rights. The findings highlight the deep-rooted nature of insecure work and the failure of existing laws to protect long-term workers from exploitative arrangements.
Economic Costs of Insecure Work
The TUC said the prevalence of zero-hours contracts is damaging the UK’s economy by suppressing wages and productivity. Paul Nowak, General Secretary of the TUC, called zero-hours contracts “a nightmare” for working families, stating, “They give bosses almost total control of workers’ earning power and hours, making it impossible for families to plan budgets or childcare.”
TUC research shows that zero-hours workers earn about a third less than the national median wage, with an average hourly rate of £10.68 compared to £15.69. Polling also revealed that only one in seven zero-hours workers is happy with the lack of regular working hours.
The organisation argued that the current “epidemic of insecure work” is holding back the economy, and that improving workers’ rights would raise productivity and boost demand.
Employment Rights Bill
The government’s Employment Rights Bill, introduced in October 2024, aims to address many of the issues surrounding zero-hours contracts. If passed, it would give workers the right to request a guaranteed contract if they work the same hours consistently. It would also require employers to provide reasonable notice of shifts and payment for cancelled shifts.
Key Provisions of the Employment Rights Bill
- Guaranteed hours: Zero-hours contract workers will gain the right to request a guaranteed contract if they regularly work consistent hours.
- Notice of shifts and cancellations: Employers will be required to give reasonable notice of shifts and compensate workers for last-minute changes.
- Expanded protections: Workers will be entitled to day-one rights to paternity leave and protection from unfair dismissal.
- Ending fire-and-rehire: The bill will ban the controversial practice of firing employees and rehiring them on inferior terms.