Summer Jobs

Debate between Jayne Kirkham and Damian Hinds

Tuesday 7th July 2026 Commons Chamber

[Damian Hinds]

Of course the hon. Member is right. Nobody wants exploitative zero-hours contracts. Quite often when the Opposition talk about zero-hours contracts, the Government think that the work exploitative automatically gets inserted into the phrase. That is why we stopped exclusivity clauses in zero-hours contracts way back when we were in government. Nobody should be exploited, but that does not mean that there cannot be a job that works for the employer and employee and gives flexibility in the economy.

[Jayne Kirkham]

The right hon. Gentleman is being generous. Of course there are zero-hours contracts that work for some people and not for others. For example, if it is the choice of the employee, then it is fair enough, but if someone’s work is cancelled when they are on their way in, that is not fair. The 2025 Act still allows people who are employed to say, “No, I do not want those average hours. I am happy to work on a zero-hours contract.” That optionality is still there.

[Damian Hinds]

Good employers, who want to keep their employees, do not do stupid things that upset their employees. Good employers will always want to keep good people in order to build their business.

--- Later in debate ---

[Damian Hinds]

Well, I will help him with that. That principle is why, back in 1999—under a Labour Government, as he will recall—when the original minimum wage came in, the Low Pay Commission specified that there should be a different rate for young people. That was for two reasons. The first reason was because of the work experience effect: there is a difference in how employers view people with a few years’ work experience and others without that experience, and if those rates were exactly the same, youth unemployment would inevitably rise. The second reason was to recognise that very many of those younger workers are in some form of education or training at the same time. We all want people to be properly rewarded for the work they do. The best thing is to be well rewarded in a job, but the worst thing of all is not to have a hope of getting into a job that is well rewarded.

We have talked a bit about the national living wage. Of course, we all want the national living wage to keep going up. That is why we brought it in, by the way, in 2015, with the explicit intention that it would keep rising until it was further up the income distribution. However, we do have to acknowledge the reality. As I say, I think that most people present know that there is a difference by age and that it is there for a reason.

[Jayne Kirkham]

It is still the case that there is that differential, is it not? There is still about a £2 difference between under-21s and over-21s, so it is not actually having the impact that the right hon. Gentleman suggests it should. If there is still that differential, why is there that problem at the moment, when employers are not paying national insurance contributions for under-21s either? Considering that the differential still exists, why does the problem exist?

[Damian Hinds]

I genuinely do not know quite how to respond to that. The differential has come down. It is due to come down further—it is due to be eliminated. There will still be the difference in national insurance contributions. Nobody is at this time envisaging there being no difference in employment costs at all. The reason that I used a hypothetical case and established that principle was to demonstrate why there is a wage effect on youth unemployment.

I was going to talk about the overnight visitor levy, on which I have strong views—I think it will be bad for our local economies, bad for international inbound tourism and bad for places that rely on domestic tourism and seaside towns in particular—but in the interests of time, Madam Deputy Speaker, I will not.

I will just end by saying that I would have thought that the Labour party would like to break away from that cliché—the fact that every Labour Government ever to exist have left office with unemployment higher than when they came in. If I was a Labour Member, I would want to say, “With our enormous majority, and perhaps with the new Prime Minister we are about to have, this could be our chance to break away from that, so that nobody can ever say that to us again. We are, after all, Labour—we are supposed to be the party of work. Let us devote all our energies to maximising employment, and particularly to maximising the opportunities for young people coming into the labour market.” It is not too late for them to take that approach.

I just want to add something that we have not really talked about today—in fact, something we hardly ever talk about—in the context of these changes. We need to consider the number of people who will be forced into self-employment as a result of the changes in the Employment Rights Act. I strongly encourage the Government to change course.

Hospitality Sector

Debate between Jayne Kirkham and Damian Hinds

Tuesday 1st July 2025 Westminster Hall

[Damian Hinds]

And the national health service—sorry, I am coming back to hospitality, Ms Butler. As it turns out, one of the biggest users of zero-hours contracts in the country is the national health service.

[Jayne Kirkham]

I think that the right hon. Gentleman may not have heard that I said in my speech that, on the zero-hours contract provisions in the Employment Rights Bill, there is a choice. If the employee chooses to work under a zero-hours contract, that is fine. The right is to be offered after four weeks.

[Damian Hinds]

I am coming on to that; the hon. Lady must give me space. These are forms of employment that have existed for a long time. At a certain point, I realised that my own first job in the hospitality sector was on a zero-hours contract; it is just that nobody had coined the term at that point. It is a very common type of employment. In my case, it was collecting glasses and washing dishes. Everybody who worked in that way did so on a zero-hours contract.

These kinds of contracts can work in any sector where there is fluctuation in demand and in the need for labour, and principal among those is the hospitality sector. The thing that some people struggle with—I am not saying the hon. Lady does—is the idea that they also work for individuals. It is not necessarily something that people do only because there is nothing else available. Some people choose; supply teachers choose to be supply teachers rather than full-time employed teachers. I hear from businesses, pubs and restaurants in my constituency that students whose home is in the constituency work when they are at home and can stay on the books when they go away to university or college. They might want to reduce the amount of time that they give to work when their exams are on, but they stay on the books.

I do not think that the proposals in the Employment Rights Bill are very helpful, but if the Government insist on keeping them, they could make two important changes. The first change is to the length of the 12-week reference period, which does not work in a hospitality business that has significant seasonality. It should be much longer. Secondly, they could change the requirement to make repeated offers of a guaranteed-hours contract, and instead state, as the hon. Member for Truro and Falmouth rightly said—she may even be sort of nodding in agreement—that it should be up to the individual. If the individual wants to opt in, fine, but the Government should not create the additional bureaucracy, dead-weight and cost of having to make those repeated offers if that individual does not seek them.