Fire and Rehire Tactics

Debate between Christian Wakeford and Tanmanjeet Singh Dhesi

Wednesday 15th June 2022 Westminster Hall

[Mr Dhesi]

The hon. Gentleman makes an excellent point, and that is why it is important that we have skilled workers who need be regarded for their loyalty to the job, and for their competence.

Call me cynical, but it seems that certain policies can be expedited over others, such as the Home Office having no difficulty in swiftly implementing the inhumane Rwanda policy or the Government pushing to break international law, or selling off the popular and successful Channel 4.

[Christian Wakeford (Bury South) (Lab)]

Does my hon. Friend not think that part of the problem for the Government of the moment is that, if they try to expedite fire and rehire while we are trying to fire the current Prime Minister, they will unfortunately have to rehire him on worse terms and we will all suffer?

[Mr Dhesi]

My hon. Friend makes an excellent point and with a great deal of wit.

While the Government can do all the things that I have outlined, it seems that supporting workers’ rights has been abandoned at the bottom of the pile. It is not a priority for this Government, who seem to value their own job security above that of the average working person.

What does the Prime Minister expect from our great British workforce? Under this Government, are workers just meant to put up and shut up about their inadequate pay, conditions and benefits, without having adequate legal protections? Thankfully, due to the excellent work of unions such as Unite, Unison, GMB, the Transport Salaried Staffs Association or TSSA, the National Union of Rail, Maritime and Transport Workers or RMT, ASLEF and others, there is some support and respite from fire and rehire for employees. However, without legislation, I fear that this practice will persist.

It is clear that we need to outlaw fire and rehire. We do not need some sort of consultation but to outlaw it and urgently introduce a Bill to strengthen workers’ rights. Lip service will not stop fire and rehire; an effective ban will. However, Government plans on a statutory code fall woefully short and even then the Government are struggling to implement the bare minimum required. Current Government proposals would mean that the practice of fire and rehire remains legal, consultation procedures would not be improved and workers would continue to be dismissed for not agreeing to an inferior contract. Quite simply, all that that will achieve is to increase a company’s financial calculation before it uses fire and rehire tactics regardless.

We already know that the Government plans do not work. P&O Ferries calculated that it was financially worthwhile foregoing consultations, despite knowing that they were necessary, before cutting almost 800 jobs and replacing those employees with agency workers. P&O’s chief executive said:

“I would make this decision again, I’m afraid.”

Unscrupulous employers are acting without consequence. Companies have examined our current legislation, deemed that it is not fit for purpose and then exploited it. Failing to turn the tide now will be a green light for other employers to behave in exactly the same way.

P&O Ferries did not act in a vacuum. Its decision came after immoral fire and rehire tactics were used persistently throughout the pandemic. British Airways and other such companies were called “a national disgrace” by the Transport Committee for their actions, which put thousands of jobs at risk and led to my inbox being flooded by messages from concerned Slough constituents who work at Heathrow airport. Employees who had worked for BA for decades were threatened with being cast off at the beginning of a global pandemic, which is unforgivable. It was only due to the excellent work of unions on behalf of the workers involved that deals were reached and jobs were saved, but it should not have had to come to that.

British Gas, which is owned by Centrica, threatened the livelihoods of 5,000 employees, using the threat of coronavirus as a smokescreen to act unethically against many of my Slough constituents, and I know that many other right hon. and hon. Members’ constituents were also affected. Before an agreement was reached that brought the dispute to an end, there were 44 days of strike action and 500 workers were dismissed. Again, without the unions thousands more workers would have been left without a job and without representation.