The trade body wants businesses to make their voices heard in the Government’s consultation on changes to zero-hours contracts and shifts under the Employment Rights Act, stating the changes “are among the most significant operational changes facing hospitality businesses”.
The live consultation is seeking views on proposals that will oblige businesses to offer guaranteed hours contracts to eligible employees on zero-hours contracts, provide reasonable notice of shift patterns and introduce compensation for cancelled or changed shifts.
Job instability
While UKHospitality has not finalised its response to the Government, it has confirmed it will state:
- The proposals as they stand will act as a barrier to the number of jobs and hours offered by hospitality businesses. This risks increasing job instability, as opposed to the Government’s stated aims of providing more certainty for employees.
- Given the extreme financial pressure facing hospitality businesses and the increased and costly administrative burden from the proposed changes, implementation should not commence before October 2028.
- The threshold at which a worker is eligible for guaranteed hours contracts should be set at eight hours per week or fewer, to genuinely reflect low hours.
- To be eligible, workers must work regularly – at least 10 out of every 12 weeks and at least 20% more than their contracted hours.
- The reference period for guaranteed hours should be sufficiently long enough to account for seasonal trading, set at either at 26 or 52 weeks.
UKHospitality chief executive Allen Simpson said: “One of hospitality’s defining qualities is its ability to offer anyone the opportunity to work, regardless of their background, qualifications or circumstances.
Critical that Gov hears from operators
“There are many significant changes to employment law as part of the Employment Rights Act but how zero-hours contracts and shifts will be managed in the future is undoubtedly one of the most significant.
“If Government does not get this right, it risks creating barriers to employment, particularly for young people, and restricting the ability of businesses to adapt to their customers’ needs.
“UKHospitality has been undertaking an extensive consultation with its members to ensure that our response is reflective of the entire hospitality sector, but it’s critical the Government hears from individual operators, too.
“I would encourage all operators to respond to this important consultation to make their voice heard.”
The deadline for responses on the matter is Tuesday 25 August.
