We recently responded to the Government's consultation on a proposed Code of Practice on dismissal and re-engagement.
The Code sets out an employer's responsibilities where it seeks to make changes to terms and conditions of employment which may not be readily agreed by employees or their representatives. The Code provides guidance where such discussions may result in the employer dismissing employees and offering them re-engagement on new terms, (otherwise known as "fire and rehire"), offering their roles to other workers or imposing changes unilaterally.
In the wake of some high-profile cases involving this practice, we understand that the purpose of the Code is to provide clarity and a framework for meaningful consultation. There will be potential sanctions for non-compliance, in the form of an uplift in compensation (up to 25%) in the event of a successful Employment Tribunal claim.
We agree that a form of guidance is necessary and will help to balance the competing interests of employers and employees. We also outline concerns regarding the prescriptive nature of the Code and how it might work in practice.
Read our full response here.