Fire & Re-Hire: Updated Code

On 19 February 2024, the government published a revised draft statutory Code of Practice on Dismissal and Re-engagement and Explanatory Memorandum, which if approved by Parliament is expected to come into force later this year. The draft Code was the subject of a government consultation last year which arose following the actions of P&O Ferries dismissing 800 workers without consultation in March 2022. The Code sets out the detailed steps employers should take when seeking to make changes to an employee's contractual terms where "dismissal and re-engagement" is proposed. "Dismissal and re-engagement" means dismissing employees, before either offering to re-engage them, or offering to engage other employees, in substantively the same roles, in order to effect the changes. Key aspects include: