Number of UK workers on zero-hours contracts hits record high ahead of crackdown

Source: Hacker News

The number of workers on zero‑hours contracts has hit a record high, ahead of Labour’s planned crackdown on the practice from next year. A surge in 16‑to‑24‑year‑olds and workers not in full‑time education helped drive the number of people employed on the contracts to 1.23 million in December, a rise of 91 000 on a year earlier.

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Zero‑hours contracts reach record high

Zero‑hours contracts let employers hire staff with no guarantee of work, offering employees only the hours for which they are needed—often at short notice. Proponents argue the contracts help young people into their first jobs and provide flexibility around education or childcare. Critics say they leave workers facing unpredictable schedules, no guaranteed income and an inability to plan financially.

Government and legislative response

The Department for Business and Trade (DBT) said it “will ensure people can have the security they need by giving eligible workers the right to guaranteed hours”. The upcoming Employment Rights Act (part of the government’s legislation) is expected to come into force next year, granting workers a right to guaranteed hours, “reasonable notice” of schedules and compensation for shifts cancelled at short notice.

• Employment Rights Act details
• Measures are still subject to consultation and secondary legislation in the Commons: consultation page

A DBT spokesperson added:

“Tackling insecure work is vital if we are to boost incomes, raise living standards and increase productivity. We will work closely with workers and employers alike on how the measures are implemented.”

Analysis by the Work Foundation

The Work Foundation at Lancaster University analysed Office for National Statistics (ONS) data and highlighted the urgent need for the government and MPs to finalise the measures. Director Ben Harrison said employers remain reliant on “highly precarious” zero‑hours contracts despite Labour’s plans.

“Such arrangements underpin the kind of ‘one‑sided flexibility’ that leaves over a million workers unsure how many hours they will work or how much money they will earn next week,” he said.

Key findings

• An additional 181 000 people are on zero‑hours contracts compared with when Labour came to power in 2024.
• Young workers are five times more likely to be on zero‑hours contracts.
• Women make up more than half (54 %) of workers on these contracts.
• 32.8 % of zero‑hours contractors rely on them for full‑time work—a record proportion, with many seeking additional hours or second jobs.

Impact on workers

Case study: Anna Jameson

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Anna Jameson, a 22‑year‑old retail worker from Maltby, South Yorkshire, described her experience:

“Zero‑hours contracts have left me with constantly fluctuating hours and wages. You never know what your pay will be at the end of the month.”

Living with her father, stepmother and brother, she added:

“You want to create security, but when your wages are unpredictable, everything feels uncertain.”

She said the instability made it difficult to move into her own rental accommodation, as landlords demand stable income.

Trade union reaction

Trade unions have called for the measures in the Employment Rights Act to be “implemented in full as soon as possible”.

Paul Nowak, General Secretary of the Trades Union Congress (TUC): “Zero‑hours contracts are trapping workers in insecure jobs with little control over their hours and pay. This will make a real difference to working people’s living standards.”