The Government has announced new plans that could see zero-hour and gig economy workers who have shifts cancelled at short notice paid compensation.

The proposal comes as part of a package of measures which are designed to improve the rights of low-paid flexible workers in the UK.

According to recent figures by the Trades Union Congress, the gig economy has doubled in size over the past three years and now accounts for 4.7 million workers, thanks largely to digital platforms such as Uber and Deliveroo.

The Department for Business, Energy and Industrial Strategy said that one in six low-paid workers on flexible hours receive no more than a day’s notice of a cancelled shift.

On top of that around 40 per cent of UK workers claim that their hours varied week to week with 1.7 million concerned about their hours changing unexpectedly.

The new proposals would see workers could receive the full value of the shift cancelled or three times the hourly minimum wage for each hour cancelled.

The proposals are intended to build on an earlier set of reforms introduced in December last year following a review into modern working practices.

Business Secretary Greg Clark said new business models had opened up ‘a whole new world of working patterns and opportunities’.

He added: “It’s vital that workers’ rights keep pace with these changes, reflect the modern working environment and tackle the small number of firms that do not treat their staff fairly.”

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