Over a million workers face an ‘insecurity premium’ of nearly £500 a month due to cancelled shifts, new analysis has revealed.
The government passed the Employment Rights Act last year, introducing new rights related to job security, shift notice and minimum guaranteed working hours.
But many of these changes have not been rolled out yet – and some 6.3 million UK workers still work variable hours, with no guarantees of when they will work or how much they will earn.
According to new research from the Living Wage Foundation, it’s leaving millions trapped in poverty.
The charity surveyed 2,000 insecure workers, and found that more than half had lost money through short-notice shifts, cancelled shifts or wasted costs on things like transport and childcare. In total, 19% lost money in all three ways.
Affected workers lost around £230 a month on average – but for the one-in-five insecure workers who lost out in all three ways, this surged to an average of £470. That’s around 1.1 million people losing almost £500 monthly.
Such rampant insecurity makes it “impossible” to plan a life, said Graham Griffiths, director of Living Wage Foundation.
“Millions of workers are stuck in jobs where they don’t know when they’ll be working or if they’ll get the hours and pay they need, trapping them in poverty and making it impossible to plan a life,” he said. “Many are now struggling to put food on the table and keep up with bills.”
The Employment Rights Act is a “step in the right direction,” Griffiths added – but there remains “uncertainty around how strong the act’s provisions will be.”
The act received royal assent last year, but is being rolled out in stages. In February, anti-trade union laws were revoked. In April, a major wave introduced day-one statutory sick pay and family leave rights, alongside the creation of the Fair Work Agency. And in August, new rules allowing electronic trade union balloting came into force; previously, this could only be done by post.
In 2027, workers will get the right to guaranteed working hours, if they want them.
They will also get compensation if a shift is cancelled, shortened or moved to another time, and reasonable notice of shifts and changes to shifts.
The Employment Rights Acts will destroy more jobs than it protects
Workers will lose out with more tax rises and a continued stagnating economy.
We need government to start incentivising companies (maybe those above a threshold of some kind) to provide significantly more stable contracted hours for employees.
Tax cuts; reduced rates; legally enforced over-time rates etc.
People need stability.
The employment rights act will seemingly need some tough enforcement to get companies to behave.
Shift workers have been fucked over at every step over the last three decades almost, so this is atleast something good.
The government seem to forgotten there are businesses that literally relay on zero hour contracts and without them will have serious financial problems. Yes there are definitely business that take the piss and advantage of workers… However for example farm attractions, zoos and any venues like this that are seasonal. These venues therefore see very high trade and then basically zero trade at off peak times, these venues will struggle with changes to zero hours staff.. There will be higher unemployment.
Wages aren’t the problem. Wages are relatively good in this country. The cost of living is the problem.
7 comments
Over a million workers face an ‘insecurity premium’ of nearly £500 a month due to cancelled shifts, new analysis has revealed.
The government passed the Employment Rights Act last year, introducing new rights related to job security, shift notice and minimum guaranteed working hours.
But many of these changes have not been rolled out yet – and some 6.3 million UK workers still work variable hours, with no guarantees of when they will work or how much they will earn.
According to new research from the Living Wage Foundation, it’s leaving millions trapped in poverty.
The charity surveyed 2,000 insecure workers, and found that more than half had lost money through short-notice shifts, cancelled shifts or wasted costs on things like transport and childcare. In total, 19% lost money in all three ways.
Affected workers lost around £230 a month on average – but for the one-in-five insecure workers who lost out in all three ways, this surged to an average of £470. That’s around 1.1 million people losing almost £500 monthly.
Such rampant insecurity makes it “impossible” to plan a life, said Graham Griffiths, director of Living Wage Foundation.
“Millions of workers are stuck in jobs where they don’t know when they’ll be working or if they’ll get the hours and pay they need, trapping them in poverty and making it impossible to plan a life,” he said. “Many are now struggling to put food on the table and keep up with bills.”
The Employment Rights Act is a “step in the right direction,” Griffiths added – but there remains “uncertainty around how strong the act’s provisions will be.”
The act received royal assent last year, but is being rolled out in stages. In February, anti-trade union laws were revoked. In April, a major wave introduced day-one statutory sick pay and family leave rights, alongside the creation of the Fair Work Agency. And in August, new rules allowing electronic trade union balloting came into force; previously, this could only be done by post.
In 2027, workers will get the right to guaranteed working hours, if they want them.
They will also get compensation if a shift is cancelled, shortened or moved to another time, and reasonable notice of shifts and changes to shifts.
The Employment Rights Acts will destroy more jobs than it protects
Workers will lose out with more tax rises and a continued stagnating economy.
We need government to start incentivising companies (maybe those above a threshold of some kind) to provide significantly more stable contracted hours for employees.
Tax cuts; reduced rates; legally enforced over-time rates etc.
People need stability.
The employment rights act will seemingly need some tough enforcement to get companies to behave.
Shift workers have been fucked over at every step over the last three decades almost, so this is atleast something good.
The government seem to forgotten there are businesses that literally relay on zero hour contracts and without them will have serious financial problems. Yes there are definitely business that take the piss and advantage of workers… However for example farm attractions, zoos and any venues like this that are seasonal. These venues therefore see very high trade and then basically zero trade at off peak times, these venues will struggle with changes to zero hours staff.. There will be higher unemployment.
Wages aren’t the problem. Wages are relatively good in this country. The cost of living is the problem.