Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/264154 
Year of Publication: 
2022
Series/Report no.: 
Document de travail No. 2022-02
Publisher: 
Université du Québec à Montréal, École des sciences de la gestion (ESG UQAM), Département des sciences économiques, Montréal
Abstract: 
We propose a model to evaluate the U.K.'s zero-hours contract (ZHC) - a contract that exempts employers from the requirement to provide any minimum working hours, and allows workers to decline any workload. We find quantitatively mixed welfare effects of ZHCs. On one hand they unlock job creation among firms that face highly volatile business conditions and increase labor force participation of individuals who prefer flexible work schedules. On the other hand, the use of ZHCs by less volatile firms, where jobs are otherwise viable under regular contracts, reduces welfare and likely explains negative employee reactions to this contract.
Subjects: 
Zero-hours contracts
Working hours
Gig economy
Flexibility
JEL: 
E24
J22
J23
J63
L84
Document Type: 
Working Paper

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