UKH welcomes Gov ban on exclusivity clauses for lowest paid

UKHospitality has welcomed the news announced by the business minister Paul Scully that the Government is to widen its ban on exclusivity clauses to include those earning less than £123 a week.

The proposals will widen the ban on exclusivity clauses, which restrict staff from working for multiple employers, to contracts where the guaranteed weekly income is on or below the Lower Earnings Limit of £123 a week.

An estimated 1.5 million workers are earning on or below £123 a week and the new reforms will ensure that workers in this group that have exclusivity clauses are able to top up their income with extra work if they choose.

UKH chief executive, Kate Nicholls, said that the sector currently has over 160,000 vacancies and described the move as a “positive for both businesses and workers in the sector”.

She said: “Currently the hospitality sector has over 160,000 vacancies, double that of pre-pandemic levels, and recruitment is a key challenge for operators looking to rebuild and recover following the last two years. We therefore see this move as positive for both businesses and workers in the sector.

“Pre-pandemic the industry generated £130bn in economic activity and contributed £39bn of tax to the Exchequer. To fully recover and, crucially, to play an optimal role in the national economic recovery, we need to attract and retain good people at all levels. Offering flexibility is a critical part of this.”

Nicholls added: “People are at the very heart of what we do and the sector offers a wide range of fulfilling roles and careers for people of all ages, levels of experience and expertise.”