Proposed ban on zero-hours contracts “completely the wrong move”, says IEA expert
Philip Booth quoted in The Telegraph
Kristian Niemietz writes for 1828
“Once again the TUC wants to impose a one-size-fits-all solution on the labour market.
“Zero-hours contracts are not ideal for some workers, but for a significant number who cannot or do not wish to commit to fixed hours they may be the only form of employment they can take on.
“Nearly a fifth of all workers on zero-hours contracts are full-time students. Many more are semi-retired older workers, or people with family and caring responsibilities. Some already have a full-time job elsewhere, but take on extra zero-hours contracts to augment their income.
“Crucially, few of them – less than 20 per cent in recent Labour Force Survey figures – want a new full-time job or longer hours.
“The effect of a ban would be to exclude some workers from employment. Faced with higher costs, businesses would almost certainly aim to consolidate on fewer employees working longer hours, drawn from a different age group and demographic. A complete ban on zero-hours contracts would be completely the wrong move at a time when we need greater, rather than less, labour market flexibility to get back to pre-pandemic levels of employment.”
Notes to Editors
Contact: Emily Carver, Head of Media, 07715942731
Professor Len Shackleton is available for further comment.
For further IEA reading on zero hours contracts click here.