A ban on the use of exclusivity clauses in zero-hours contracts
An increase in the penalty for breach of the national minimum wage. The maximum penalty of £20,000 can now be calculated on a per worker basis rather than on a per employer notice basis
The ban on exclusivity clauses for zero hours was introduced by the last Government but has only recently come into effect. Exclusivity clauses were used to prevent employees on zero hours contracts from working for another employer.
Government issued a consultation in the autumn of 2014 seeking views on how ‘Banning Exclusivity clauses and tackling avoidance’. The NFU responded to this consultation which sought views on the likelihood of employers avoiding a ban on exclusivity clauses and how that might be achieved, and how potential avoidance could be dealt with. While the NFU has supported the ban on exclusivity clauses we don’t believe further legislative reform is needed as these contracts offer important benefits to both employers and workers