Andy McDonald used Prime Minister’s Questions to emphasise the urgent need to end exploitative employment practices by establishing a single worker status to ensure all workers are guaranteed rights. He also stressed the economic benefits of such a measure, estimating an additional £10bn in annual tax revenues for the Treasury.
McDonald criticised the Government’s Employment Rights Bill for failing to legislate a single status of worker, instead proposing a consultation on the matter. The Bill seeks to address exploitative practices, including the use of zero-hours contracts, but McDonald argued that without resolving worker status, gaps remain that perpetuate precarious work arrangements.
“The Employment Rights Bill is urgently needed, especially given the exploitation of gig workers, like retail assistants employed through apps, who are denied vital rights and charged a premium just to be paid on time,” McDonald said. “Insecure work not only denies workers their rights but costs the economy around £10bn annually. A single status of worker would end abusive practices, provide security, and significantly benefit the economy.”
Recent media reports have highlighted the exploitation of app-based recruitment platforms such as YoungOnes and Temper, which hire staff on a self-employed basis without employment protections. Evidence presented to the Business and Trade Committee also revealed that major retailers like Fraser’s Group rely on zero-hours contracts for thousands of staff.
Margaret Beels, Director of Labour Market Enforcement, echoed McDonald’s concerns, stating: “Having three levels of employment status creates confusion and allows for sharp practices. This issue has been consulted on extensively—it’s time for action.”
McDonald’s calls build on Labour’s 2021 New Deal for Working People and 2024 Making Work Pay documents, both of which advocated for a single worker status for all but the genuinely self-employed.
Speaking after PMQs, McDonald added: “This Bill is the biggest upgrade to employment rights in a generation, but unless we resolve worker status, it will not address the systemic exploitation in precarious work. Securing guaranteed hours and proper rights isn’t just fair—it strengthens economic stability by increasing tax revenues and reducing insecurity.”
McDonald urged the Government to act decisively, warning that further delays would leave significant gaps in protections for workers and the economy.