Possible ban on 'exclusivity' in zero hours contracts

Business Secretary Vince Cable has ruled out a ban on "flexible" zero hours contracts but said that there may be a ban on exclusivity clauses that prevent employees from working elsewhere.

The controversial business practice, where people are not guaranteed any working hours, will be put under the microscope by the business secretary in a 12-week consultation.

Mr Cable said: "A growing number of employers and individuals today are using zero hour contracts.

"While for many people they offer a welcome flexibility to accommodate childcare or top up monthly earnings, for others it is clear that there has been evidence of abuse around this type of employment which can offer limited employment rights and job security.

"We believe they have a place in today's labour market and are not proposing to ban them outright, but we also want to make sure that people are getting a fair deal."