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McDonald’s to allow employees to opt out of hourly paid, zero-hours contracts

CIPD People Management report that McDonald’s staff in nine restaurants have been given the chance to move from what it describes as ‘hourly paid contracts’ (widely referred to as zero-hours contracts) onto fixed-hours contracts, after employees reported difficulties when applying for mortgages and loans.

CIPD People Management report that McDonald’s staff in nine restaurants have been given the chance to move from what it describes as ‘hourly paid contracts’ (widely referred to as zero-hours contracts) onto fixed-hours contracts, after employees reported difficulties when applying for mortgages and loans. McDonald’s “don’t recognise zero-hours contracts” but have flexible contracts that afford all hourly paid people the same benefits and the same opportunities for training and development as contracted, fixed-hours staff. Under the initiative, staff can choose to switch to a four-hour, 16-hour or 30-hour contract. McDonald’s said that if the scheme is successful, it could be rolled out across the UK within a year.

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