Government urged to rethink guaranteed hours plans

Doubts have been raised about the government’s approach to the guaranteed hours rules, with concerns that hiring will be held back during a critical time for workers, companies and the UK economy.

‘Government Knows Best’ Approach Should Be Reconsidered

The Recruitment and Employment Confederation (REC) is urging the government to rethink its plans, saying that the costs and complexity of the ‘government knows best’ approach will be detrimental to hiring.

Instead, there are calls for a simpler and more targeted tactic, including exempting temporary workers from the proposals to avoid loss of opportunities and a boom in false self-employment.

The Ultimate Losers Could Be the People That It Is Claimed This Change Will Protect

Commenting on this, Neil Carberry, REC Chief Executive, said, “The government’s current plan takes a hammer to the two-way flexibility that has helped Britain have high employment, high in-work progression and a better record on the share of income that goes to wages than most major countries. To damage this is not just challenging to businesses – it is bad for workers.

“Unless government and unions come to the table with businesses to redesign these powers, the ultimate losers will be the people that it is claimed this change will protect. Firms do not want to derail the government’s agenda – we want to make it work.

“That requires proper discussions about how this change happens and an exemption for genuinely temporary work, including agency staffing.”

Carberry added, “Temporary work exists because employers face short-term, seasonal or unpredictable demands. Firms can choose to meet that demand in many ways – including overtime and overseas supply, or to leave growth that they cannot meet sustainably on the shelf.

“Preserving the impetus for firms to offer flexible work when they cannot justify a full-time, directly employed job is critical to getting that work done, and more people into work. This is especially important given the role temporary work plays in supporting young people in starting their career.

“Government needs to remember that the unions who are pushing this agenda have few members among the private sector workforce they claim to be protecting, especially among agency staff in the private sector.

“Agency work is well regulated, and the risk these workers face is from firms offering fewer shifts, or – as we are already seeing – some firms trying to claim jobs are self-employed, which would take away rights these workers already have.”

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