The government’s consultation on changes to zero hours contracts and shifts under the Employment Rights Act will close on 25 August
UKHospitality has urged operators to contribute to the government’s consultation on changes to zero hours contracts and shifts under the Employment Rights Act.
The 12-week consultation was launched on 2 June under Starmer’s Labour government and is due to close on 25 August.
While the Employment Rights Act 2025 gained Royal Assent on 18 December 2025, the zero hours contracts measures in the act have not yet taken effect.
The consultation is seeking views from businesses on the practical implications of giving workers a right to guaranteed hours, a right to reasonable notice of shifts, as well as a right to payment for shifts cancelled, curtailed or moved at short notice.
The act also looks to extend zero hours measures to agency workers to prevent agency work from becoming “a loophole for employers to avoid the new legislation”.
The government stated it recognises that some workers “need and value the flexibility that a zero hours contract can provide”, and affirmed “we are not banning zero hours contracts”.
As the consultation continues, UKHospitality has urged government not to implement changes to zero hours contracts before October 2028 and that the threshold at which a worker is eligible for guaranteed hours contracts should be set at eight hours per week or fewer.
The hospitality trade body has also called for the reference period for guaranteed hours to be sufficiently long enough to account for seasonal trading, set at either 26 or 52 weeks.
Allen Simpson, chief executive of UKHospitality, said: “One of hospitality’s defining qualities is its ability to offer anyone the opportunity to work, regardless of their background, qualifications or circumstances.
“There are many significant changes to employment law as part of the Employment Rights Act but how zero hours contracts and shifts will be managed in the future is undoubtedly one of the most significant.
“If government does not get this right, it risks creating barriers to employment, particularly for young people, and restricting the ability of businesses to adapt to their customers’ needs.”
He added: “UKHospitality has been undertaking an extensive consultation with its members to ensure that our response is reflective of the entire hospitality sector, but it’s critical the government hears from individual operators, too.
“I would encourage all operators to respond to this important consultation to make their voice heard.”
UKHospitality previously stated that zero hours contracts are the desired contract for 90% of people across the hospitality sector, according to a House of Commons library research briefing.
The government’s consultation on changes to zero hours contracts and shifts under the Employment Rights Act can be accessed here.
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