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There are some days when we switch on our TVs or open a newspaper to update ourselves on the latest reports about the economy and end up more confused than when we started. Conflicting messages seem to fly at us from every direction; some claiming that we are officially out of recession and well on the way to recovery, others informing us that the cost of living is on the up and unemployment (though decreasing) continues to be a major problem throughout the UK.
Long lasting damage
Ever since the economic crash, finances, wages and public spending have become sore points for many people. There have been scandals with regards to excessive expenses and bonuses for those in high ranking positions, and complaints at the other end of the spectrum that housing prices and the general cost of living are too high, with too many people resorting to benefits to supplement their low incomes or even as an alternative to salaries that would be unable to cover their everyday running costs.
The latest news to break however has been particularly hard to swallow for some people, with recent findings suggesting that the unemployed now have more disposable income than part-time and zero-hour workers. After taking care of necessary bills such as rent and food, the average person in the UK working under a zero-hour contract has 7.8% of their total income left. This is compared to the 9.3% which the average unemployed person now has left to spend or save as they wish. The stats have certainly ruffled some feathers, and risk becoming a deterrent to those currently seeking work.
Controversial contracts
This is not the first time the divisive zero-hour contracts have come under fire either. They are supposed to offer flexibility to both employer and worker, with the member of staff not guaranteed regular hours but instead simply called upon when needed. The instability in income they result in has led to calls for change from MPs and a proposed bill that would see a radical shift in the stipulations laid out when such contracts are drawn up. Under these new protocols, improvements designed to protect workers would include:
· Zero-hour contract staff must be treated as equals to full-time employees who complete comparable tasks.
· Those employed on a zero-hour contract for more than 12 weeks must be offered a permanent role.
· Greater notice of hours must be given to the workers so they can accept or decline the work.
· Shifts cancelled within less than 72 hours must still be paid in full.
· Exclusivity would be banned, allowing staff to seek additional work elsewhere.
Whether these new findings will prove the final nail in the coffin for zero-hour contracts remains to be seen but one thing is clear: The economy still has a long way to go before things can be considered stable and fair again.
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