Time for recruiters to change the employment landscape

Anna Scott

To the relief of the business world, the government has announced it will not ban the use of zero-hours contracts.

Launching a twelve-week consultation on the use of the controversial contracts – rarely out of the news this year – business secretary Vince Cable said that despite reported abuse of workers’ rights they have an important place in employment landscape.

The latest record employment figures from the Office of National Statistics that show 30 million people in work are testament to the flexibility of the UK labour market, business leaders say.

Without the variability of working patterns offered by freelancers, contract workers and agency workers on short and long-term contracts, unemployment would be much higher, according to the British Chambers of Commerce.

The TUC does not go so far to say zero-hours contracts should be banned, but instead calls for zero-tolerance of abuses within their application, adding that the government is “desperately short on solutions to curb the use of these contracts”.

Banning the exclusivity that some workers on zero-hours contracts have to a certain employer is one suggestion mooted by government.

A big problem – most parties agree – is the lack of any clear definition of these contracts or how they should work. Students, older workers and carers may find them particularly beneficial for example, the Chambers of Commerce says.

The CIPD says they have been “unfairly demonised”. All sides agree that clarity is vital. It’s time for those who deal with many of these issues every day – recruiters themselves – to explain the reality of the situation.

On the reform of the IR35 legislation and proposals to amend tax and national insurance for offshore employment intermediaries, the government has been listening to the experience and views of the recruitment sector. Now recruiters have the chance to really make a difference to the employment landscape in 2014.

With very best wishes for Christmas and the New Year from the team at Recruitment Agency Now,

Anna.