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I am concerned about the increase in fire and rehire practices during the pandemic, which are being used as a smokescreen to erode workers' rights. Centrica plc, parent company of British Gas, is reported to have hundreds of millions in profit each year while forcing unfavourable contracts on its staff.
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Claire Hanna highlighted the high incidence of fire and rehire practices since lockdown, with one in ten workers threatened by it. She pointed out that lower-paid and black and minority ethnic workers are disproportionately affected, despite many companies being profitable or receiving public funds during the pandemic.
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Mr Newlands criticised the government for not taking action on fire and rehire practices, noting that companies like British Gas have threatened workers with dismissal and then asked them to accept worse terms. He proposed legislation to ban fire and rehire through an amendment to the Employment Rights Act 1996 and urged the government to include a pledge in the upcoming Queen's Speech. I hear warm words from the government but am concerned about workers who have taken redundancy or been forced out of business due to fire and rehire threats. I also ask for a guarantee that the ACAS report will be published in full after the Queen's Speech, along with what actions the Government plans to take on it.
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The use of fire and rehire tactics has led to dramatic pay cuts and worsened terms for workers. The Prime Minister backtracked at Prime Minister's Questions when asked about outlawing the practice, despite ACAS having reported on it since 17 February.
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Ian Byrne expressed strong opposition to the practice of fire and rehire, citing its destructive impact on livelihoods, families, and communities. He highlighted specific cases where companies like British Gas have used this tactic despite posting substantial profits during the pandemic, such as Centrica's £447 million profit in 2020. Byrne urged the Minister to take action based on the ACAS report and called for a commitment from the Government to outlaw fire and rehire.
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The MP highlighted the difficulties faced by workers subjected to fire and rehire practices, citing specific examples of salary cuts at companies like Goodlord, Go North West, Jacobs Douwe Egberts, Melrose Brush, and Heathrow. He emphasized that these are real people with mortgages and families who have been treated unfairly.
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Imran Hussain criticised the Government's failure to act on fire and rehire tactics, citing the British Gas case where hundreds of employees were fired for refusing to sign contracts with worse terms. He highlighted the rise in precarious employment conditions due to the pandemic and employers' use of legalised blackmail against their staff. Hussain also emphasised that such practices harm families financially and weaken good employers unable to compete without similar tactics.
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He expressed concern about the current practice of 'fire and rehire' in British Gas, affecting skilled workers who had previously enjoyed secure employment. He highlighted that 350 members have lost their jobs due to this practice, with one estimate suggesting that one in ten workers across Britain have suffered from such treatment or faced its threat.
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Mr McDonnell highlighted the negative impacts of 'fire and rehire' practices in his constituency, particularly at Heathrow where British Airways and Heathrow Airport Ltd attempted to cut wages and undermine working conditions during the pandemic. He mentioned that these actions led to significant anger among workers and a mental health crisis within the community. Workers felt betrayed as companies made large profits while relying on government support.
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Margaret Greenwood denounced fire and rehire as abusive and immoral, describing it as an attack on working people's rights. She cited examples of high-profile disputes involving major companies and pointed out that young and black and minority ethnic workers are particularly affected.
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British Gas engineers in my constituency of Birkenhead were sacked by Centrica due to their refusal to accept a pay and conditions cut. One in ten British workers has faced fire and rehire threats over the past year, despite 70% of these companies turning a profit. This practice is not about economic necessity but corporate exploitation during a public health crisis.
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Trade unions offer workers a voice in the workplace and benefit from better terms and conditions. British Gas has fired almost 500 engineers for refusing new contracts, while Go North West drivers have been blackmailed into taking pay cuts of £2,500.
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I support the SNP colleague's efforts on fire and rehire legislation but criticise both Labour and Conservative parties for opposing devolution of employment law to Scotland, which would allow protection of workers. I urge for immediate legislative action.
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He criticised the Conservative Government for not taking action against 'fire and rehire' practices, which he described as a form of legalised robbery aiming to transfer wealth from wages to profits. He called for an industrial-scale fightback against this practice.
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Sam Tarry condemned the use of fire and rehire as an unacceptable practice, especially during a pandemic. He cited British Airways' attempt to force staff into inferior contracts despite receiving significant taxpayer support through furlough schemes. Tarry also highlighted Centrica's controversial stance on fire and rehire, suggesting potential misleading statements made before Parliament, and noted the impact of such practices on local authorities like Thurrock Council.
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The MP discussed the case of British Gas engineers being fired for refusing to sign new contracts with worse terms, mentioning a similar situation at other companies like British Airways and Jacobs Douwe Egberts. She criticized the government's lack of action and called for legislation to ban fire and rehire practices.
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Reminded Members about the new hybrid arrangements for the debate, including timings and technical support procedures. Advised virtual participants to be visible at all times and reminded both physical and virtual attendees of mask-wearing requirements.
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I am concerned about the use of fire and rehire practices in my constituency, particularly within the aviation sector. The impact has been devastating for workers, with companies such as British Gas forcing employees into inferior pay and conditions or risking job loss. Even prior to the pandemic, UK employment law was inadequate, but these immoral tactics have worsened during the crisis.