Review launched into employment status of British workforce

07 October 2014

Business Secretary Vince Cable has launched a wide-ranging employment review to help clarify and potentially strengthen the employment status of workers.

The Government announcement explains that this review:

follows the recent review and upcoming legislation of zero hours contracts, which revealed that an increasing number of people in the UK who could be on ‘worker’ employment contracts which have fewer basic rights (such as unfair dismissal or maternity pay) than the vast majority of people who are on ‘employee’ contracts.

In many instances workers are not aware of their employment status and therefore what employment rights they are entitled to. Many employers are also unsure what rights their workforce is entitled to, running the risk of legal challenge if they get something wrong. As a result, government is also unable to collect meaningful data and get a complete picture of the overall workforce.

Officials expect to present interim findings by the end of the year, and hope to submit recommendations for next steps to ministers by March 2015.