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A zero-hour contract is a type of employment contract in United Kingdom labour law, between an employer and an employee whereby the employer is not obliged to provide any minimum number of working hours to the employee.

In 2015, employers in the UK were prohibited from offering zero-hour contracts that prevented employees from also working for a different employer at the same time. In September 2017, the UK Office for National Statistics estimated that there are over 900,000 workers on zero-hours contracts, 2.9% of the employed workforce.

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In the UK, zero-hour contracts are controversial. Trade unions, other worker bodies and newspapers have described them as an exploitation of labour. Employers using zero-hours contracts include Sports Direct, McDonald's and Boots.

A 'zero-hour contract' is a type of contract between an employer and a worker according to which the employer is not obliged to provide any minimum working hours and the worker is not obliged to accept any work offered.[1] The term 'zero-hour contract' is primarily used in the United Kingdom.

Under UK law a distinction is drawn between a mere "worker" and an "employee", an employee having more legal rights than a worker.[3] Whether a person working under a zero-hour contract is an employee or a worker can be uncertain; however, even in cases where the plain text of the zero-hour contract designates the person as a "worker" courts have inferred an employment relationship based on the mutuality of obligation between employer and employee.

In the United Kingdom, under the National Minimum Wage Act 1998, workers operating under a zero-hour contract on stand-by time, on-call time, and downtime must be paid the national minimum wage for hours worked. Prior to the introduction of the Working Time Regulations 1998 and the National Minimum Wage Regulations 1999 zero-hour contracts were sometimes used to "clock-off" staff during quiet periods while retaining them on site so they could be returned to paid work should the need arise. The National Minimum Wage Regulations require that employers pay the national minimum wage for the time workers are required to be at the workplace even if there is no "work" to do.[4][5] In the past, some employees working on a zero-hour contract have been told that they are required to obtain permission of their employer before accepting other work but this practice has now been banned under UK legislation enacted in May 2015.[1][6]

In Autoclenz Ltd v Belcher, the UK Supreme Court delivered a judgment on workers employed under a zero-hour contract. Lord Clarke held, at paragraph 35, that in employment relations which are characterised by inequality of bargaining power, the written terms of a contract may not in truth represent what was the contract in law.

In March 2015, the Small Business, Enterprise and Employment Act 2015[7] received royal assent. On a date to be appointed, s. 153 of the Act will amend the Employment Rights Act 1996, so that exclusivity terms in zero-hours contracts will no longer be enforceable, and regulations may specify other circumstances under which employers may not restrict what other work zero-hours workers can do.

According to the CIPD research, about 38% of those employed under zero-hours contracts considered themselves to be employed full-time, working 30 hours or more a week. While 66% of those on zero-hours contracts were happy with the hours they worked,[9] 16% felt they did not have an opportunity to work enough hours. About 17% of private employers used zero-hours contracts while they were used by 34% of non-profits organisations and 24% of public employers. Zero-hours contracts were frequently used in hotels, catering and leisure (48%), education (35%) and healthcare (27%).[13]

In the UK, zero-hour contracts are controversial. British business leaders have supported them, stating that they provide a flexible labour market.[27] It is argued they may suit some people such as retirees and students who want occasional earnings and are able to be entirely flexible about when they work.[28] It has been reported that 60% of people on zero-hour contracts are happy with the hours they work.[29] Trade union groups and others have raised concerns about exploitation and the use of such contracts by management as a tool to reward or reprimand employees for any reason, meaningful or trivial. They also raise concerns about how workers can adequately assert their employment rights or maintain decent employment relations.[30] A Channel 4 documentary broadcast on 1 August 2013 claimed that Amazon used "controversial" zero-hour contracts as a tool to reprimand staff.[31]

Workers subject to zero-hour contracts are vulnerable to exploitation as they may be denied work at any time for any reason, including declining to respond to a demand to work. A refusal to work in any one instance for any reason can result in a prolonged period of lack of work.[32] Due to the uncertainty of the workers' schedules, zero-hour contracts present problems for workers with children due to the difficulty of arranging child care. The rapidly growing use of zero-hour contracts was the subject of a series of articles in late July 2013 by The Guardian and as of 2013 was of concern to Parliament.[33] Vince Cable, business secretary of the government, is considering closer regulation of the contracts but has ruled out a ban.[34] Labour MPs Alison McGovern and Andy Sawford have campaigned to ban or better regulate the practice.[17]

In 2016, several UK chains that had been using zero-hour contracts announced that they would phase them out during 2017. These included Sports Direct and two cinema chains, Curzon and Everyman.[35] However, Cineworld, another leading cinema chain that also owns Picturehouse, has come under scrutiny for continuing to use the contract format, with the Ritzy living wage protests at London's Ritzy Cinema especially prominent.[36]

In 2020, a campaign called Zero Hours Justice was set up. Led by Ian Hodson, president of the Bakers, Food and Allied Workers Union and backed by Julian Richer, it was launched with the aim of ending zero hours contracts.[37][38][39]

Casual labour contracts in Canada can have "no guaranteed minimum hours,"[41] place "no obligation on the employer to provide work", and pay can be "pro rated in line with hours worked."[42][better source needed]

In 2015 in New Zealand, the television show Campbell Live revealed that large corporate hospitality companies such as Burger King and McDonald's, KFC, Starbucks, Pizza Hut, Carl's Jr. (all under Restaurant Brands), Sky City and Hoyts, all use zero-hour contracts to reduce costs.[43][better source needed] On 9 April, Restaurant Brands agreed to do away with zero-hours contracts.[44]

Zero Hours registration is for students who have completed all degree requirements except for the master's project, master's thesis, professional doctorate project, or doctoral dissertation, and need to satisfy a registration requirement until the term of defense or graduation. Students register for their master's project (usually 597), master's thesis (598), professional doctoral project, or doctoral dissertation (599) for 0 hours via Student-Self Service. (Other courses that many departments offer for zero hours, such as research seminars, are not part of the description on this page.) There are two options of zero hour registration, Option A and Option B. Option A is for master's and doctoral students; Option B is only for doctoral students.

Students are not eligible for zero hours if you have a fellowship that requires a certain minimum hours registration (eg. University Fellowship) or a Tuition and Service-Fee Waiver from the Graduate College. Normally, students holding an assistantship also are not eligible for zero hours although if the student who holds an assistantship does register for zero hours they will lose the tuition waiver resulting from the assistantship.

Note for Student Visa Holders: Current SEVIS (federal immigration) regulations do not allow an international student on a student visa to register for more than zero (0) hours in a subsequent term if the student was registered for zero (0) hours previously, unless the student is admitted into a different program. This precludes accepting an assistantship or tuition waiver for future terms after a zero-hour registration occurs. The rationale for the regulation is that zero-hour registration is allowed for students on a visa only if all requirements other than the thesis or master's project are completed, and registration for more than zero hours indicates that they did not originally qualify, and, are thus be out of status. Unfortunately, flexibility to take a course for intellectual development or to register for hours to qualify for an assistantship or tuition waiver after zero hour registration does not exist currently. Consult with the Office of International Services (OIS) if there is a question on this issue.

Permission to use either Option A or B will be considered by the Graduate College upon receipt of a Graduate College Student Petition supported by the graduate program. Approval by the Director of Graduate Studies and the Graduate College signifies that all requirements except the final project, thesis, or dissertation have been completed. On rare occasions, a course with a grade of I, DFR, or NR may still be pending, but the DGS should note the exception on the petition. Additionally, if the student goes over the degree or preliminary exam time limit after approval of zero hours, a re-evaluation of the student's status may occur. (Students must complete project or defend the thesis/dissertation by the degree deadline, regardless of which option is chosen.)

Students requesting Option A only have to petition one time for zero hour approval. Doctoral students who request Option B must specify Option B on the petition and the terms requested (maximum two terms per petition). If more than two terms of Option B are required a new petition must be filed before the start the that term. Students must re-file a petition for Option B by the 10th day of the term (5th for summer) so that the student bill is correctly calculated. e24fc04721