What the 2026 zero and low‑hours consultation means for employers and workers

The Government has opened a major consultation on new protections for zero‑hours and low‑hours workers, seeking views on the Regulations needed to implement the zero‑hours measures in the Employment Rights Act 2025. While zero‑hours contracts are not being banned, the clear policy direction is to curb one‑sided flexibility, while preserving genuine business need. These proposals will have significant implications for workforce planning, record‑keeping and cost management across England, Wales and Scotland.

A new right to guaranteed hours

At the heart of the consultation is a proposed right for workers to request guaranteed hours, where their actual working pattern exceeds their contractual hours over a defined reference period.

Workers would qualify if:

• They are on a zero‑hours contract
• They have guaranteed hours below a set threshold
• They regularly work more hours during a given reference period.

The worker could accept an offer reflecting their actual pattern or decline and remain on their current arrangement.

The Government’s preferred threshold for workers with some guaranteed hours is 8–20 hours per week, which it considers is the best balance between worker protection and employer flexibility.

How the reference period would work

The consultation proposes an initial 12 week reference period, offering quick access while still capturing a reliable picture of normal hours. Longer reference periods of 26 or 52 weeks remain under consideration.

A key question is how “regularity” should be assessed:

• Option A: A minimum number of weeks worked (e.g. 8 of 12)
• Option B: Weeks worked plus a minimum number of additional hours above contract (e.g. 96 hours across 12 weeks).

Option B is more stringent and would prevent occasional overtime from triggering the right.

Seasonal and temporary work is also addressed. Employers would not need to make a guaranteed hours offer where the worker is on a reasonable limited term contract shorter than the reference period. The Government is seeking views on whether the definition of “temporary need” should be broadened to capture seasonal fluctuations.

How guaranteed hours would be calculated

Two methods are proposed:

Mean average – every hour worked counts equally.

Median average – reduces the impact of unusually high or low weeks.

The Government is also exploring whether employers should have an adjustment margin (e.g.+2 hours or +10%) to align offers with shift patterns or correct minor calculation discrepancies.

Agency workers are included, with hirers generally responsible for making guaranteed hours offers, although alternative models are being explored.

Reasonable notice of shifts

Eligible workers must receive reasonable notice of shifts and any changes. Regulations will set a presumed reasonable period, with the consultation canvassing:

• 1–4 weeks for directly engaged workers
• Under 5 days to 4 weeks for agency workers.

Failure to give reasonable notice would give rise to an employment tribunal claim for loss of pay suffered.

Payment for short‑notice cancellations or changes

Where a shift is cancelled, moved or shortened at short notice, a payment would be due. The consultation seeks views on:

• What counts as “short notice” (1, 2, 3, 5 or 7 days)
• Whether a higher tier should apply for “very short notice”
• Whether payment should be based on actual shift pay or the National Living/Minimum Wage.

No payment would be due where the worker initiates the change, fails to attend, or swaps shifts voluntarily.

Enforcement and penalties

Short‑notice payments may be enforced by the newly created Fair Work Agency through the Notice of Underpayment regime. Guaranteed hours and reasonable notice claims would remain with employment tribunals. The preferred penalty is 50% of arrears, with a minimum of £100 and a maximum of £5,000 per worker.

How we can help

We advise employers on zero‑hours compliance, workforce planning, and employment status issues. We also support workers seeking clarity on their rights. If you would like guidance on how these proposals may affect your organisation, or support with a current workplace issue, our team is ready to help.