Regular readers of our news updates and blogs may recall that in 2015 exclusivity clauses were made unenforceable against workers on zero hour contracts.
The government is now proposing to extend the ban on exclusivity clauses for workers whose earnings are below £123 per week (£123 being the Lower Earnings Limit), estimated to be around 1.5m workers throughout the UK.
That amount only represents about 13 hours’ work per week at minimum wage, so commentators have already been suggesting that it’s very unlikely to have a major impact on UK employers. That said, it’s still an important development and one businesses do at least need to be aware of.
According to the press release, legislation for these reforms will be laid before Parliament “later this year”.
For further advice on the matter please contact us directly.