The Employment Rights Act 2025 regulates zero-hours and low-hours contracts. The rules end 'exploitative' practices and give workers more security, requiring employers to offer guaranteed hours and provide reasonable notice of shifts.
What employers must do
- Audit current contracts: Identify all zero-hours and low-hours contracts
- Track hours: Record actual hours worked vs contracted hours
- Review scheduling: Assess current shift scheduling practices
- Make guaranteed hours offers: Offer guaranteed hours based on actual working patterns
- Update policies: Maintain policies for guaranteed hours and shift notice
High-risk sectors
These sectors typically have high use of zero-hours contracts and are most affected:
- Retail
- Customer-facing roles with variable footfall
- Hospitality
- Pubs, restaurants, hotels with seasonal variation
- Care sector
- Domiciliary care with client-dependent hours
- Education
- Supply teachers, casual lecturers
- Events/entertainment
- Seasonal and event-based work
- Logistics/warehousing
- Peak period workers
Compliance considerations
Guaranteed hours offers
- You must proactively offer - workers do not need to request
- Offer must reflect actual working pattern over reference period
- Worker can accept or decline the offer
- Cannot dismiss or treat less favourably for accepting
Shift notice
- Provide reasonable notice of shifts
- Compensate for short-notice cancellations
- Keep records of notices given
Legal basis
Primary legislation and key regulations
Read it on legislation.gov.uk (opens in a new tab) legislation.gov.ukOfficial guidance
/guidance/collective-redundancy-changes-2026 (opens in a new tab)
/guidance/family-leave-employer-checklist (opens in a new tab)
/guidance/statutory-sick-pay-employer-guide (opens in a new tab)
/guidance/unfair-dismissal-employer-guide (opens in a new tab)
/guidance/work-with-trade-unions (opens in a new tab)
/guidance/workplace-harassment-prevention-2026 (opens in a new tab)