Zero Hour Contract Management Report: Starbucks Case Study Analysis

This report provides a detailed analysis of zero-hour contracts within Starbucks, examining their impact on employee motivation and the overall management of the workforce. The report begins with an executive summary and table of contents, followed by an introduction that outlines the scope of the analysis. A comprehensive literature review explores motivational theories, including Maslow's Hierarchy of Needs and McClelland's Theory, and how these can be applied to improve employee engagement in the context of zero-hour contracts. The legal aspects of employment, such as minimum wage, paid holidays, and pay for work-related travel, are also reviewed to provide a framework for understanding employee rights. The main body of the report delves into the nature of zero-hour contracts and their implications for Starbucks, while the conclusion summarizes the findings and suggests improvements, such as incorporating government-led guidelines and adopting motivational theories to foster a more engaged and satisfied workforce. The report concludes with a list of references, including books and journals, to support the analysis.

Zero hour contract -
Management report

Executive Summary
This report has detailed about the concept and adverse affects associated with the adoption and
implementation of zero hour contract in Starbucks. It has discussed the theories that can be
utilised by the company in order to raise the degree of motivation within its workforce. The
report has also provided a brief about the legal policies and procedures that are in favour of the
employees of the company and the ways they can channelize their rights through the same.

Table of Contents
INTRODUCTION ..........................................................................................................................4
LITERATURE REVIEW................................................................................................................4
Theories of Motivation ..........................................................................................................4
Maslow's Need Hierarchy Theory..........................................................................................4
McClelland's Theory .............................................................................................................6
Legal aspects .........................................................................................................................7
MAIN BODY ..................................................................................................................................7
Understanding the nature and the issue of zero hour contract................................................7
CONCLUSION ...............................................................................................................................8
REFERENCES..............................................................................................................................10
Books and Journal................................................................................................................10

INTRODUCTION
Management is a process of planning, organising, directing, staffing and controlling.
Management is a constant procedure that is relevant and essential for the every organisation.
Management have their own abilities in every sector of work and organisation sphere whether in
company of creating from raw materials, retail and outgrowth (Insights, 2017). Through the
management process a organisation is capable to achieve their targets and aims for the company
growth. Manageme4nt has their own rules and laws according to the situations at very different
levels . This report shows the analysis of management report ,employee engagement and about
zero hour contact. This undertake is going to start between worker and leader and in this worker
is no more duty-bound towards their efforts and task and they have something limited area to
accomplished their various activity so they do not need to worry about that. This context select
Starbucks for analysing their target and that eliminate the explanation and assertion towards the
zero hour contract.
LITERATURE REVIEW
Theories of Motivation
The below mentioned theories can be capitalised by Starbucks in order to heighten the
employees self-confidence and aid their motivation to fulfil organisation goals effectively.
Maslow's Need Hierarchy Theory
Zero hour contract can impose major adverse effects on the motivation and willingness of
the employees to exhibit their best potential in their daily line of work. In order to promote and
encourage the performance and effectiveness of staff members working in the Starbucks, the
company is supposed to align and incorporate Maslow's Hierarchy Theory so as to enhance the
standard of performance of the current workforce by providing them with adequate necessities
which are extremely essential in order drive the workforce to give their best for the
accomplishment of organisational short and long term objectives.

Maslow's Hierarchy Theory comprises of 5 essential requirement that needs to be fulfilled in
order to increase the skilfulness and productiveness of the employees in the workplace. The
explanation of all the stages is listed below :
Physiological Needs : Physiological needs can be characterized as the elementary
requirement that are extremely crucial for the employees in order to survive and meet their basic
livelihood (Vrat, 2016). Starbucks can provide a good salary package or basic wages to its
employees in order to facilitate them in fulfilling their physiological needs i.e. water,
shelter ,meals, sleep etc. Hence, it is very prominent to fulfil these requirement so as to help the
workforce to meet and keep up with their day to day needs and requirements.
Safety Needs : Starbucks needs to incorporate safety and security measures in its
management and operations so as to protect the employees from any situation or condition that
may impose physical or mental threat to the same.
Belongingness/love Needs : It is essential for Starbucks to provide a good working
atmosphere to its employees so as to make them feel appreciated and loved in the organisation
and enhance the feeling of belongingness in the same.
Self esteem Needs :In order to fulfil this need of employees, Starbucks needs to provide
them essential opportunities that can be capitalised by them in order to fulfil their esteem needs.

The company can concentrate on promotion, pay hike, rewards etc. in order to accomplish these
kind of needs (Coyle, 2017) .
Self Actualisation Needs : Self Actualisation needs refers to employee's perspective and
perception about themselves. It very difficult for Starbucks to satisfy or fulfil these needs as
these needs are personal and individualistic in nature and cannot be influenced or manipulated by
external forces and factors.
McClelland's Theory
Mcclelland's theory brings into perceptive the idea that every employee has their
respective driving forces such as achievement, affiliation/recognition and power that impels them
to do better in their area of work (Adams, 2016). These driving forces are not genetically
developed in an employees, they need to be developed through dealing with real life experiences
and situation. The driving forces pertaining to this theory are listed below :
Achievement : The need for achievement is one of the drivers for motivation of
employees which has the ability to persuade them to give their best services in the organisation
so as to achieve greater heights in the same. Starbucks can also utilise the same and provide good
achievement opportunities to their employees such as giving them appraisals, good positions in
the organisation, enhancing their pay scale which can assist the employees in feeling a sense of
achievement.
Affiliation : This driving factor refers to the need for association and relationships in
order to feel accepted and appreciated in the company. Every employee want to develop good
bonds in the company so as to become familiar with its peers and work comfortably. Starbucks
can facilitate the same providing an open environment wherein there is a possibility for
employees to engage with each other develop good working rapport with the same (Lehdonvirta,
2018).
Power : It is an authority that allows an individual to have command and control over the
other fellow peers. Many employees working in the organisation crave for power and authority
in order to feel confident and superior in their field of work . Starbucks can channelize and
capitalise this driving or motivating force by reducing the role zero hour contract with the in its
managerial operations.

Legal aspects
The National Minimum Wage and Living Wage: On the basis of this standard norms
obligatory by the government of UK, is protect the marginal occupation earnings to all and each
individuals in the company whether the workers would be doing full time job or part time
employees. Each workers have right to receive a suitable and minimum payout for their work so
that they can fulfil their needs.
Paid holiday: Each worker is eligible to take its recompense for the leaves that are paid.
This concept is not explained that leader have to provide leave pay out to the workers but the
Act of Fair Labour Standards has obligate a recompense for additional welfare for the
workers. According to this law, workers are eligible for marginal payout for their leaves. That
laws provide motivation to the employees towards the company in terms of additional benefits.
Starbucks are required to provide these facilities to their employees because to manage the
interest and motivation level of the employees. These laws create less attrition rate and for
enhancement of the company this laws and policy lead to increase more stability of person.
Pay for work-related travel: This policy is related to the when the workers is making
money means they are paying during travelling into the further metropolis and in the localised
sphere. This policy involve its disbursal for substance, or travelling asseveration, some food
disbursal and some many more. Starbucks gives these payout to its higher authorities because
they can not hire external person for less work activities.
Remuneration for existing on the phone call : Many organisation have functional
branches wherein the regular work is assigned through phone calls due to unavailability of the
workers in workplace or in order to brief the employees who are working from home or are
enrolled in part time jobs (Reader, Parand and Kirwan, 2016). According to the government
policy, it is essential for the company to pay the employee for being on call with the employer
relation to their work. In case, the phone call gets disconnected but not at employee's end, the
employee can ask for compensation and the organisation is liable to pay to the same.
MAIN BODY
Understanding the nature and the issue of zero hour contract
Zero hour contract is something that a employee and workers are not restricted or bound
towards their target and work means they have particular and fixed hours to do that work, they

are not bound to that work with forcefully and this is something verbal or might be registered
contract in between organisation and workers. Workers are not bound they have right to operate
accordingly and as per their suitability or according to the goals of company. The organisation
applied this contract for some specific plan and task or for some aim. In this policy, workers
does not have a permanent job or any fixed working hours in the company (Reese, 2018). They
are more free and not restricted to work into the another company. workers initiate themselves
towards the organisation for some particular undertaking, workers of the company initiate them
and made prosecute them particular time of period such as that kind of policies is generally
applied by the the wholesale company or event companies. These companies execute its utility
and activities on the basis of the some occasions and some time of period. The company
operate its selection style or concept for the specific period of time thus,they will not going to
cosset unneeded or cloaked occupation.
The managers or workers have to give a particular time of period for achieving and
completing their project in a successful manner. In general terms , workers are provide by their
earnings on the basis of the fixed hours that is decided by the mangers or leaders. For part time
and any occasional jobs this policy is very helpful for them. But few times that going to built a
problems for occupation seekers because of particular time of period for working hours.
Managers recruit part time workers and told them for like 20 hours but subsequently if they able
to finish their task in 15 hours so they make their payments for that time only. This problems has
been shows in the Starbucks organisation that confront this policy on the basis of franchise
beginning and campaigns as well as (Halpin, Lucko and Senior, 2017) . Starbucks has definite
to supply 20 hours maximum of job and initiate their salary or wages on the basis of the hours
or particular time period, but subsequently, that were not react for their argumentation into
affirmative manner because they break the rules and laws if that policy by giving the definite
payout . This will become cause for demotivation and low interest towards the company. Here
are several legal norms and laws to resolve these problems and partial and unfair activities from
the company.
CONCLUSION
From the above analysed information, it can be concluded that there are numerous issues
and concerns pertaining to the implementation of zero hours contract in the organisations as it
leads to encouragement of discrimination and unnecessary boundation of employees. It also

promotes the unfair treatment of employees as well as restricts and violates their rights in the
company. Due to zero hour contract in Starbucks, the employees started feeling uninterested and
demotivated in their respective work. The company needs to incorporate the government led
working guidelines for employees in order to protect and promote the interest of employees in
their respective organisation. In order to cope up and respond to the same, the above mentioned
theories of motivation can be adopted by the company so as to increase the willingness and
interest of the employees in their work.

REFERENCES
Books and Journal
Insights, P., 2017. year in Review.
Reese, C.D., 2018.Occupational health and safety management: a practical approach. CRC press.
Halpin, D.W., Lucko, G. and Senior, B.A., 2017.Construction management. John Wiley & Sons.
Reader, T.W., Parand, A. and Kirwan, B., 2016. European pilots’ perceptions of safety culture in
European Aviation.European Commission Report.
Vrat, P., 2016.MATERIALS MANAGEMENT. SPRINGER, INDIA, PRIVATE.
Lehdonvirta, V., 2018. Flexibility in the gig economy: managing time on three online piecework
platforms.New Technology, Work and Employment,33(1),.pp.13-29.
Adams, C.E., 2016.Urban wildlife management. CRC press.
Coyle, D., 2017. Precarious and productive work in the digital economy.National institute
economic review,240(1), pp.R5-R14.