Organisations have different ways and conditions for acquiring new talents through contracts between them and their employees. The contracts are approached through organisation guidelines, potential employees’ qualifications and other internal and external factors. Zero hours is one type of contract a company may offer, which involves temporarily hiring more employees to cover for additional workforce that may temporarily arise within a period. Zero-hours contract employees provide their services only when the company needs them; thus, their schedules are inconsistent. Circumstances that may require an organisation to apply zero hours include special occasions that require additional manpower, full-time employees being absent, and changes in seasons creating high output. Zero-hours contracts have advantages and disadvantages for the organisation and employees. Some disadvantages of zero hours for employees include:
Zero-hours contracts create unpredictability for the employees because they do not provide specific times and schedules (Gheyoh Ndzi, 2021, p. 141). Employees may go weeks or months without work due to inconsistency, and the company has no obligation to provide them with work since they can choose who to assign specific tasks to. At the end of a particular task, employees are released without knowing the availability of the next task, making it hard for them to plan their lifestyle around the organisation’s schedule. Employees may do the same task since the company approaches different people to see who is available at specific times.
Employees involved in zero hours cannot plan their finances since they cannot predict when the company may require their services. Inconsistency in working hours causes the employee’s income to fluctuate every month. The fluctuation in employees’ income makes it difficult to save for retirement and plan vacations. Zero hours involve little notice for opportunities available, and often, there is the cancellation of work at the last minute, affecting employees’ plans and finances.
Zero hours decrease employees’ retention and morale since they feel less important than their full-time counterparts. A reduction in morale affects company output, leading to employees leaving the company to search for better opportunities or the company terminating their contract. Employees’ commitment is essential in production; it is hard for employees to prioritise the company’s needs when they feel insecure. The company may require zero-hour employees to tackle different tasks each time, which reduces employees’ morale since inconsistency in skill requirements heavily affects employees’ output and concentration.
In conclusion, zero hours create flexibility, and many disadvantages arise for both employees and the organisation. Employees cannot plan their finances and work schedules, the company output is reduced due to reduced morale, and insecurity among employees are some of the disadvantages of zero hours for employees. Although zero hours have many disadvantages, they also have merits, such as flexibility, where workers can choose the time they are willing to provide their services due to flexibility within their contract. Another advantage is that employees can better balance their work and life by managing their schedules to accommodate professional and lifestyle needs. An organisation needs to consider all the merits and demerits of zero hours before making it their preferred method of employment.
