Planned ‘fire and rehire’ statutory code

26 January 2023

A new consultation has been released by the Department for Business, Energy and Industrial Strategy (BEIS) presenting a draft code of practice for employers seeking to change employment terms and conditions.

This seeks to take action against employers who use dismissal as a means to pressure employees into taking new, less favourable, terms of employment. In the press release, indicated that the P&O Ferries situation, last year, was a contributing factor in the introduction of measures to tackle the issue.

The code will give courts and Employment Tribunals the ability to apply a 25% uplift to employee compensation if their employer did not comply with the statutory requirements.

The consultation is open until 18 April 2023. If you have any information to provide to BEIS, we strongly advise you to read through the consultation document and respond where possible.

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