More than 150,000 people in North East in 'insecure' work, study says

More than 150,000 people in the North East are in ‘insecure’ work, a new study suggests, with that figure having risen by more than 30,000 in the last six years.

Around one in eight workers in the North East are in jobs that the TUC says offer little or no security. The union body defines insecure work as zero-hours contracts, low-paid self-employment or casual and seasonal work.

Union bosses are calling on Labour to urgently implement its ‘New Deal’ for workers, which would outlaw zero-hours contracts and give workers employment rights from day one of the job. The call comes as some business groups are expressing concerns that the new Government’s pledges on increased rights for workers will add to costs for companies just as many are starting to recover from pressures of inflation and wage increases over the last few years.

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Nationally, the TUC said that the number of people in insecure work had reached a record high of 4.1m, with that figure increasing by nearly 1m between 2011 and 2023.

It said that people on zero-hours contracts earned an average of 35% less an hour than workers on median pay. And it belies that nearly 300,000 working people in the North East would benefit from making Statutory Sick Pay available from day one of sickness.

TUC regional secretary Liz Blackshaw said: “Everyone in the North East needs a decent job they can build a life on. But over the last 14 years of failed Tory Government, we have seen an explosion in insecure, low-paid work.

“Often workers in these jobs are lower paid, have fewer workplace rights, and no guarantee of shifts so they can’t plan their budgets or childcare. Labour’s election victory is the chance to the turn the page and usher in a fresh start for hard-pressed families in the region.

“The new Government’s plan to boost workers’ rights – and make work pay – can be a game changer for this region.”

In last week’s King’s Speech, the Government said it would create a new partnership between business, unions and workers with wide-ranging changes to employment rights. An Employment Rights Bill will be introduced within the first 100 days, as promised by Labour in the run-up to the general election.

Measures will include banning “exploitative” zero-hours contracts, ending policies of fire and re-hire, and making parental leave, sick pay and protection from unfair dismissal available from day one in a job for all workers. Flexible working will be the default from the first day in a job, while it will be unlawful to sack a woman who has had a baby for six months after she returns to work.

The CBI has warned of potential “unintended consequences” from some of the new Government’s policies, while the British Chambers of Commerce also called for “detailed consultation”.