industrial relations – The NEN – North Edinburgh News

UK Government cracks down on controversial ‘fire and rehire’ tactics

UK Government acts against controversial dismissal tactics through a new statutory Code of Practice.
Employment tribunals will have the power to apply an uplift of up to 25 percent of an employee’s compensation if an employer unreasonably fails to comply with the code.
Code protects workers’ rights whilst respecting business flexibility.

Action against unscrupulous employers to tackle the use of controversial ‘fire and rehire’ practices have been rolled out by the Westminster Government.

Dismissal and re-engagement, also known as ‘fire and rehire’, refers to when an employer fires an employee and offers them a new contract on new, often less favourable terms.

The Government has been clear that it firmly opposes this practice being used as a negotiating tactic. Today, a new statutory Code of Practice has been published making clear how employers must behave in this area.

This new Code of Practice shows the Government is going a step further to protect workers across the country. This will help to preserve security and opportunity for those in work, as part of our plan to grow the economy.

Business Minister Kevin Hollinrake said: “Our new Code will crack down on employers mistreating employees and sets out how they should behave when changing an employee’s contract.

“This announcement shows we are taking action to tackle fire and re-hire practices by balancing protections for workers with business flexibility”.

In future the courts, and employment tribunals, will take the Code into account when considering relevant cases. This will include on unfair dismissal claims where the employer should have followed the Code.

https://twitter.com/i/status/1759563650212200518

Employment tribunals will have the power to apply an uplift of up to 25 percent of an employee’s compensation if an employer unreasonably fails to comply with the Code.

The new Code clarifies how employers should behave when seeking to change employees’ terms and conditions, aiming to ensure employees are properly consulted and treated fairly.

Employers will now also need to explore alternatives to dismissal and re-engagement and have meaningful discussions with employees or trade unions to reach an agreed outcome.

The Code makes it clear to employers that they must not use threats of dismissal to pressurise employees into accepting new terms. They should also not raise the prospect of dismissal unreasonably early or threaten dismissal where it is not envisaged.

Acas Chief Executive Susan Clews said: “Fire and rehire is an extreme step that can seriously damage working relations and has significant legal risks for organisations. Employers should focus on maintaining good employment relations to reach agreement with staff if they are thinking about making changes to their contracts.

“Acas offers impartial advice on employment rights and obligations, and has expertise in helping parties to maintain good industrial relations and resolving disputes where they arise.

“The Government’s new draft Code is clear that employers should contact Acas for advice before they raise the prospect of fire and rehire with employees.”

Principal Policy Advisor at Institute of Directors, Alexandra Hall-Chen said: “The publication of this Code of Practice provides employers with welcome clarity and practical guidance.

“The Code rightly places good industrial relations at its core and represents an effective means of balancing worker protections with labour market flexibility.”

Head of Public Policy at CIPD, Ben Willmott said: “The Code promotes good practice, making clear employers should always seek to agree any changes to terms and conditions with employees and that ‘fire and rehire’ should only be used as an absolute last resort.

“It highlights the importance of early and meaningful consultation with employees to maximise the chances of finding alternative solutions which can lead to agreement over proposed changes.

“It also emphasises that Acas has a key role to play and should be contacted by an employer for advice before it raises the prospect of fire and rehire with the workforce.”

The Government previously asked Acas to produce guidance for employers on fire and rehire practices, which was published in 2021.

The TUC says the guidance does not go far enough: ‘Government’s code of practice on fire and rehire lacks bite.

“It will not deter bad employers like P&O from treating staff like disposable labour. We need far more robust legislation to protect people at work.

“Labour’s New Deal for Working People would be the biggest upgrade in workers’ rights in a generation and end fire and rehire.”

Call to scrap ‘spiteful’ Strikes Bill

The TUC has warned that the right to strike of 1 in 5 workers in Britain is at risk because of the UK Government’s Strikes (Minimum Service Levels) Bill.

New analysis published by the union body yesterday shows that 5.5 million workers in England, Scotland and Wales could be affected by the legislation. Workers in Northern Ireland aren’t subject to the Bill.

Those 5.5 million workers have their right to strike threatened because – if passed unamended – the Bill will mean that when workers lawfully vote to strike in health, education, fire, transport, border security and nuclear decommissioning, they could be forced to attend work – and sacked if they don’t comply.

The legislation continues to make it way through parliament, and had a third reading in the House of Lords yesterday.

The Bill recently suffered heavy defeats in the Lords, as all the opposition amendments laid were voted through, including an amendment to stop frontline workers getting sacked for exercising their right to strike.

Huge numbers of British workers

The TUC says the Conservative government must drop the Strikes Bill in its entirety and protect the right to strike.

And the EHRC recently warned that the legislation could see all striking workers in affected sectors losing their unfair dismissal protection as whole strikes could be deemed illegal.

The TUC says the Bill should provoke “serious opposition from UK politicians” as it continues its passage through parliament, given the huge numbers set to lose their right to strike.

The union body says the UK government has failed to come clean about the draconian nature of the Bill – and has accused ministers of “shortcutting” normal scrutiny procedures by “ramming” the Bill through the parliament.

The Bill will give ministers the power to impose new minimum service levels through regulation.

But MPs have been given few details on how minimum service levels are intended to operate.

The House of Lords Delegated Powers and Regulatory Reform Committee recently criticised the Bill for giving blanket powers to UK ministers while providing virtually no detail.

The Bill has faced a barrage of criticism from civil liberties organisations, the joint committee on human rights, House of Lords Delegated Powers and Regulatory Reform Committee, race and gender equalities groups, employment rights lawyers, politicians around the world – and a whole host of other organisations.

TUC General Secretary Paul Nowak said: “This Conservative government is threatening the right to strike of as many as one in five workers up and down the country.

“This is a spiteful Bill. No one should be sacked for trying to win a better deal at work.

“But this draconian legislation would mean that when workers democratically vote to strike, they could be forced to work and sacked if they don’t comply.

“It’s undemocratic, it’s unworkable and it’s very likely illegal.

“Ministers have tried to keep the public in the dark about the true nature of this Bill.

“They are ramming it through– shortcutting normal parliamentary procedures and ducking scrutiny. And they are giving themselves the power to snatch away the right to strike of five and a half million workers.

“With inflation still running at over 10%, the last thing workers need is for ministers to make it harder to secure better pay and conditions.

“It’s time for ministers to protect the right to strike and ditch this Bill for good.”

First Minister: Scotland to show leadership on Climate Justice

Investment to tackle “loss and damage” from climate change

Funding to help some of the world’s most vulnerable communities recover from and build resilience against climate change will be announced as world leaders gather for COP26.

The Scottish Government’s Climate Justice Fund will provide £1 million to support a partnership with the Climate Justice Resilience Fund to help communities repair and rebuild from climate-related events, such as flooding and wild fires.

The partnership forms part of the Scottish Government’s commitment to ensure COP26 empowers the most vulnerable to tackle structural inequalities.

First Minister Nicola Sturgeon will make the announcement at the Global Climate Assembly at a Green Zone event today, where she will set out Scotland’s intention to bridge the divide between those whose voices are rarely heard and those making the decisions.

The First Minister said: “Climate justice has to be at the heart of COP26 – and the Scottish Government is working to ensure that it provides a platform for unheard voices, including citizens, young people and those from the Global South.

“Through our work on climate justice, Scotland continues to proudly support nations which – despite having done the least to cause climate change – are already suffering its impact.

“We don’t have the resources of other western governments, but we can lead by example. And so I’m pleased to announce that not only are we doubling our climate justice fund to £24 million – we’re also entering into a partnership with the Climate Justice Resilience Fund to support communities and address loss and damage, supported by this £1 million investment.

“I hope this will galvanise other organisations to support the partnership – and show world leaders that where small nations lead they can follow, by making similarly ambitious commitments during COP26.”

The First Minister met with President of Malawi, Lazarus Chakwera, yesterday to discuss a COP hub which will open in the country to connect Malawian youth and community leaders to events in Glasgow (top).

She also met the Prime Minister of Viet Nam, Mr Pham Min Chihn, at Bute House (above).

The doubling of the Climate Justice Fund was announced in September.

Glasgow Bin Strikes Underway

Glasgow’s cleansing service went on strike from 00.01am this morning.

Responding to the collapse of last ditch talks between GMB and Glasgow City Council late last night, , GMB Scotland Secretary Louise Gilmour said: “We met the council in good faith, offering a clear set of proposals to reset industrial relations and avoid strikes. The council rejected these proposals.

“We specifically offered heads of terms to work together to tackle the chronic and unacceptable problems caused by years of cuts, to urgently address the employer’s unresolved discriminatory pay system and outstanding equal pay liabilities, and back this with a commitment from the council that they would not use anti-trade union laws against their workers again.

“We also proposed the Scottish Government support this process, because if the fair work agenda is to have any credibility whatsoever, then Scotland’s biggest city should be the example of it rather than the opposite.

“Regrettably, the council refused this massive opportunity to move forward and strike action across the cleansing service will now begin, during which time our members will be balloted on the COSLA pay offer.”

Transport chaos looms as Lothian Buses set for strike action

Lothian Buses staff have voted to take strike action. Unite, their trade union, had recommended acceptance of the deal but unless a last ditch agreement can be found strike act will begin at 03:00am on Friday morning – the first day of the Edinburgh Fringe. Continue reading Transport chaos looms as Lothian Buses set for strike action

No happy new year for City Link workers

‘a truly horrific catalogue of mismanagement’ – RMT

More than 2,700 staff from the collapsed UK parcel delivery service City Link will be made redundant on New Year’s Eve, the RMT union has said.

That total is likely to include staff from the Edinburgh depot based in Livingston and members plan to join a demonstration outside the company’s Motherwell depot today.

Staff learned on Christmas Day that the company had gone into administration, in a move described as “disgraceful” by the union for transport workers.

Talks between union officials and administrators Ernst & Young were held on Saturday but the administrators have confirmed that ‘substantial redundancies are expected over the coming days’.

The meeting between City Link union RMT and administrators Ernst and Young ‘has exposed a truly horrific catalogue of mismanagement at the top of the company dating back to November which leaves more than two thousand staff facing redundancy on new years eve with a skeleton staff kept on for a couple of weeks to wind down the o‎peration’, according to union leaders.

At Saturday’s meeting the union was told that:

the company were working with insolvency advisors since November without telling the staff or their union.
the company was technically declared insolvent on the 22nd December but deliberately withheld that information. A plot to hold the announcement to Boxing Day was only thwarted by the RMT acting on information from a whistle blower.
more than 2000 staff will be made redundant on New Years eve. City Link and it’s financial backers will have no liability for redundancy payments and the staff will have to apply to the government scheme. The remaining staff will be retained short term to wind down the company.
individual sub contractors, owed thousands of pounds, are unlikely to see any of their money.
there is no one in the frame to take over the company as a going concern but there may be a limited number of jobs available at other companies.

City Link, founded in 1969, was acquired by ‘restructuring specialist’ Better Capital in April 2013.

The company called in administrators on Christmas Eve after years of ‘substantial losses’, yet a November press release issued on behalf of the company paints a different picture. Just last month the Coventry-based company heralded it’s plans to ‘deliver an even more successful peak to last year’s winning performance’.

The press release, headlined ‘City Link plans ahead to beat last year’s successful peak performance’ reads:

With Christmas lights already starting to go up in many UK towns and the countdown to the festive season soon to begin, premium express carrier City Link has already got its plans in place to deliver an even more successful peak to last year’s winning performance.

City Link is now in the final stages of putting its Peak preparation plans into action, including bringing on line additional vans, collection and delivery drivers, warehouse staff and a range of new equipment and seasonal supplies.

It hopes to surpass last year’s success. The company received widespread praise for its smooth-running Peak operation – Mothercare even said that City Link had “really stepped up to the mark and delivered a great peak performance for our customers”.

To ensure that Christmas deliveries run smoothly this year City Link is adding an extra 1168 fleet collection and delivery drivers to its workforce to handle peak collections – 433 agency drivers and 735 subcontractors along with 100 additional trunking drivers in the busiest week.

In terms of vehicles, City Link is adding another 434 fleet collection and delivery vans to handle the extra demand, along with 80 additional trailers.

An extra 469 depot warehouse staff will be recruited along with around 30 additional operations support staff. Also, City Link is using 14 more forklift trucks and 963 more hand-held scanners.

City Link’s intensive preparation for the busy Christmas and New Year period also involves making plans for potential harsh winter weather with 1051 tons of rock salt on order together with 106 snow shovels and 24 snow spreaders to ensure they are well prepared to make deliveries in the event of a cold snap this winter.

Liam Tucker, City Link’s Operations Director, is extremely optimistic about this year’s Peak deliveries.

“City Link had one of its most successful peak periods in 2013 and we are looking forward to an even busier and more successful one in 2014. We’ve been planning since January and have worked with all of our larger customers to understand demand, put in place capacity and ensure contingency arrangements are there too,” said Mr. Tucker.

Operationally City Link is ready to cope well with increased demand; with a new automated sortation system in place to help increase throughput at the national hub in Coventry by up to 50% and with a £2m investment in new handheld scanners making life easier for all their drivers, including those temporary drivers coming in to help with the Christmas rush.

Customers will also benefit from a smooth delivery experience with City Link’s new “On Our Way” service which provides those receiving parcels with an estimated two-hour delivery slot and the option of re-arranging their deliveries if they’re not going to be in to sign for them. On Our Way benefits both the business customers sending parcels and the consumers receiving them: first time delivery rates increase and consumer satisfaction with deliveries rises.

Additionally the company’s Parcel Collection Points will also be open from 10.00 a.m. – 6 p.m. on Sundays from the 30th November through to the 21st December being the last Sunday before Christmas.”

RMT is demanding an immediate meeting with Vince Cable and his officials and a government supported rescue plan to save the company as a going concern.

Mick Cash, RMT General Secretary, said: “It is crystal clear from today’s meeting that there has been a truly horrific catalogue of mismanagement at City Link and that staff and their union have been starved of basic information while a plot was hatched to publicly collapse the business on Boxing Day when in fact it was already declared insolvent.

“What a despicable and callous ‎manipulation of thousands of workers and their livelihoods over Christmas as the venture capitalists cut and run leaving a trail of chaos and misery in their wake.

Vince Cable has said he will meet us in the New Year. Clearly that is too late and the business will have been smashed to pieces by then as the asset strippers hover like vultures over the corpse.

“RMT is demanding a meeting with Vince Cable right now, not when it’s too late. We want to put a plan together for a Government backed rescue that protects the business and the jobs it supports. If the government can nationalise the bankers then they can nationalise City Link which is ‎clearly in the public interest. “

United We Stand at North Edinburgh Arts

Townsend Theatre Productions are bringing their latest play to North Edinburgh Arts Centre next Friday (17 October). Their last two plays – ‘The Ragged Trousered Philanthropists’ and ‘We Will Be Free’, about the Tolpuddle Martyrs – were brilliant and attracted a full house.

United We Stand is based on the true story of the 1972 Builders Strike and the Shrewsbury 24 who were prosecuted for their involvement in the strike. The Shrewsbury Campaign, led by Ricky Tomlinson, is still seeking to overturn the unjust prosecution of the 24 workers.

We are hoping for a full house next Friday so if you want a ticket for yourself or a group you run or are involved in, please contact either the Arts Centre on 315 2151 or email me asap. The tickets are £8 full price, £5 concession and £3 good neighbour (you must live locally and have a Good Neighbour card which is free).

I am running a bus which will do pick ups throughout the area. Please let me know if anyone you know who requires transport to get there and back.

The play starts at 7.30 sharp but the bar is open from 6.30 to allow people to meet and have a blether before the play.

Hope to see you next week.

Lynn McCabe