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Union anger as Labour U-turns on plans to ban all exploitative zero-hour contracts
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UNIONS have warned it is “deeply disappointing” Labour intends to break its manifesto commitment to give all workers a right to a guaranteed-hours contract.

Usdaw general secretary Joanne Thomas vowed to put forward a “strong case” for the right to be applied to all workers after the government opened its consultation on ending exploitative zero-hour contracts.

In the consultation, ministers indicated their preference is to restrict the right to workers who are contracted to a number of hours somewhere between eight and 20 per week. 

“This is a key political priority for our union,” the leader of the retail and shop workers’ union warned.

“Many of our members are employed on short-hours contracts, routinely working significantly more hours than they are contracted.

“These contracts are as exploitative as zero-hours contracts and leave workers exposed to income insecurity week to week. 

“They disproportionately affect young workers, women, disabled workers and workers from minority communities.”

According to Labour Force Survey data, there are 2.6 million workers on zero and short-hours contracts. 

Evidence has emerged that some shifts are cancelled the night before or even when people are on their way to work.

Almost three in five workers who have variable hours receive less than a week’s notice of their shifts, according to the Living Wage Foundation.

Ministers said the reform will help save workers in some of the most deprived areas up to £600 in lost income from the hidden costs of insecure work.

While those who value the flexibility of a zero-hours contract will still be able to choose one, exploitative arrangements, where employers take all the flexibility and workers bear all the risk, will be banned.

TUC general secretary Paul Nowak urged ministers to “stand firm and crack on with delivering new rights to guaranteed hours in full.

“It’s vital the government ignores the bad faith scaremongering and gets on with delivering the change it promised.

“Business groups calling on the government to row back on its manifesto promises are defending a broken status quo which has failed the economy and failed working people.”

Business Secretary Peter Kyle said: “We’re consulting because we need to get the detail right to ensure these reforms work in practice and guard against unintended consequences from this major change to the labour market.”

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