Zero-Hours Contracts Rise to 801,000

Written by W.E.U Admin on 09 March 2016. Posted in Improving Working Lives.

Key Statistics from the ONS

The latest figures from the Office for National Statistics (ONS) reveal that the number of workers on zero-hours contracts increased by 104,000, reaching a record high of 801,000 in the quarter to December. This represents 2.5% of the UK’s employed workforce, up from 2.3% in the same period of 2014.

There are approximately 1.7 million contracts that do not guarantee a minimum number of hours, confirming many workers hold more than one zero-hours contract.

Demographics and Work Patterns

ONS analysis shows people on zero-hours contracts are more likely to be:

Young (16–24 years old)
Part-time workers
Women
Full-time students

On average, they work 26 hours per week. Around one in three want more hours in their current job, compared to just 10% of workers in other employment.

Income and Financial Impact

Research by the Trades Union Congress (TUC) indicates:

Average weekly earnings for zero-hours workers are £188, versus £479 for permanent staff.
The 801,000 figure is the highest since records began.

This unstable employment leaves many unable to plan, budget or save effectively.

Expert and Union Perspectives

Frances O’Grady, TUC General Secretary, warns that these contracts can be a “nightmare for workers”. She highlights:

Difficulty in paying bills and planning family life
One-sided flexibility favouring employers
Fear among staff to refuse shifts

O’Grady also stresses the risk to workers’ rights if the UK leaves the EU and loses proposed protections for zero-hours staff.

Jon Ingham of Glassdoor adds that unemployed people often reject these agreements due to the lack of guaranteed income. With 38% of contracts held by 16–24-year-olds, “pay-as-you-go” work is not a long-term solution.

Political and Economic Analysis

Owen Smith, Shadow Work and Pensions Secretary, criticises the government for inaction, calling the rise in insecure work a growing crisis.

Laura Gardiner of the Resolution Foundation notes that while some value the flexibility, many struggle with fluctuating incomes and budgeting. She emphasises the importance of policy-makers addressing the impact of these contracts on both workers and the wider economy.