Topic analysis

Zero-hours contracts: ministers’ detailed plans for UK ban criticised by firms and unions

The UK Labour government has launched a consultation on its planned 2027 ban on zero-hours contracts, proposing guaranteed minimum weekly hours of 8 to 20 calculated over a 12-week reference period as part of the 2025 Employment Rights Act. The proposals have faced widespread criticism from both unions, which argue the 20-hour cap is too low to ensure worker pay and schedule security, and business groups, which warn overregulation will reduce job opportunities particularly for young people and harm seasonal sectors like hospitality and retail.