Ulster Unionist Economy Spokesperson Diana Armstrong MLA has said that the Economy Minister’s Good Jobs Bill’s commitment to abolish zero-hour contracts contradicts her own commissioned research when she was Finance Minister, which stated that zero-hour contracts were essential for some sectors of the economy.

A recent report by Ulster University’s Economic Policy Centre into the Cost of Doing Business in Northern Ireland, published on 6th May, warned that abolishing zero-hour contracts as part of the Good Jobs Bill may be detrimental. One of the local business representative bodies mentioned in the report raised concerns about the abolition of the contracts, saying the flexibility they provide is “essential” in some sectors.

Ms. Armstrong said, “This stands in contrast to the drive by the Minister for the Economy, in her Good Jobs Bill, to ban zero-hour contracts. In fact, this is the same Minister who commissioned this report whilst in her previous role as Finance Minister.

“Zero-hour contracts are necessary in sectors such as tourism, where demand can be seasonal or unpredictable.

“In my constituency of Fermanagh & South Tyrone, tourism providers already work in challenging conditions, and the ban on zero-hour contracts, combined with the added impact of rises in National Insurance Contributions and the National Living Wage, may in fact cause these businesses to close.

“These contracts can be beneficial in offering choice and flexibility to employees such as students, caregivers, and those seeking second jobs.

“The suggestion from the Minister that this step is necessary to protect employees from unscrupulous employers is unfair and only serves to demonise many hard-working business owners.

“I have spoken to many business owners across my constituency and Northern Ireland at large, who quite simply will not be able to continue to operate without these contracts.

“I have urged the Minister to urgently review her proposals in light of this feedback from the business community.”