Glasgow Council Fire-and-Rehire: 23,000 Workers Face Pay Cuts 2026

Glasgow council workers face pay cuts under a controversial fire-and-rehire plan after union talks broke down, affecting 23,000 non-teaching staff. This move marks one of the UK's largest fire-and-rehire exercises, sparking concerns over workers' rights and pay equality.

What Is Fire-and-Rehire?

Fire-and-rehire is a practice where employers dismiss employees and rehire them on new contracts, often with less favorable terms. In Glasgow, the council plans to implement this after negotiations with unions GMB, Unison, and Unite failed to reach an agreement on a new pay and grading system.

The system aims to resolve historical pay equality issues, but Unison refused to ballot members on an offer that would result in pay cuts for 11% of council employees. Consequently, the council began issuing fire-and-rehire letters, though plans were briefly paused when Unison returned to negotiations. When talks collapsed again, council leader Ricky Bell suggested Unison members could still be fired and rehired while negotiations with other unions continued.

Impact on Workers and Unions

The affected workers are all non-teaching staff, including cleaners, carers, and administrative personnel. Unison is seeking legal advice on whether treating members differently based on union affiliation is lawful. Meanwhile, an emergency motion by Green councillors to block the scheme was rejected, with Glasgow Greens co-leader Anthony Carroll warning of a "genuine cliff-edge."

Key Takeaways

• 23,000 workers face potential pay cuts and rehiring under less favorable terms.
• Union negotiations broke down, leading to fire-and-rehire letters.
• Legal concerns arise over differential treatment based on union membership.
• Political opposition from Green councillors was rejected.

Comparing Fire-and-Rehire Practices

Fire-and-rehire has been used by various UK employers, but Glasgow's scale is unprecedented. Below is a comparison of notable cases:

Legal and Ethical Implications

Fire-and-rehire tactics are legal but highly controversial. ACAS guidelines suggest that employers should exhaust all alternatives before resorting to dismissal and re-engagement. The practice can damage trust and morale, leading to industrial action. In Glasgow, unions argue that the plan unfairly targets workers and undermines collective bargaining.

FAQ

The situation remains fluid, with further talks expected. Workers and unions are preparing for potential industrial action, while the council insists the changes are necessary for pay equality.