Northumberland MP Ian Lavery has called on housing developer Taylor Wimpey to withdraw dismissal notices issued to 50 construction workers in the North East. Speaking in the House of Commons, the Labour MP for Blyth and Ashington accused the company of attempting to "exploit" the practice of fire and rehire before it is banned on January 1.
Fire and rehire practice condemned
Officially known as dismissal and re-engagement, fire and rehire is a practice where an employer terminates an employee's contract and offers to rehire them on new terms that are often less favourable. Taylor Wimpey has said it found a "small number" of roles where terms and conditions required review and said it has acted "fairly".
Speaking in Parliament, Mr Lavery said: "On January 1 next year, the Government will rightly ban the disgraceful practice of fire and rehire, yet some employers appear determined to exploit the situation before these protections take effect.
"In the North East, Taylor Wimpey has just issued dismissal notices to 31 joiners and 19 scaffolders in an attempt to force them on to worse terms and conditions, leaving hard-working families facing uncertainty in the run-up to Christmas. Will the Leader of the House make time for a debate on this shameful practice and join me in urging Taylor Wimpey to withdraw those notices and return to meaningful negotiations with the workforce and Unite the union?"
Government response and legal context
The Government's new Employment Rights Act seeks to "prevent unscrupulous fire and rehire practices". The Department for Business has said: "The threat of fire and rehire is often enough to ensure employees agree to lower pay and reduced terms and conditions."
It will be an automatic unfair dismissal for employers to use the practice to change certain core employment terms unless they meet a narrow exemption for financial difficulties.
Responding to Mr Lavery, leader of the House of Commons and Tynemouth MP Alan Campbell said: "The points that he raises, which I know about from reports from my constituency, are deeply concerning. As he points out, the Employment Rights Act 2025 aims to prevent unscrupulous fire and rehire practices and guarantees fundamental protections for working people.
"Let me be clear: it is unacceptable for any employer to attempt to degrade workers' terms and conditions before statutory protections come into effect. I hope that employers, including Taylor Wimpey, hear his comments today, because I can assure them that if they do not, he will continue to make them."
Company response and next steps
Mr Lavery has said he has written directly to the Managing Director of Taylor Wimpey North East urging the company to withdraw the dismissal notices and return to negotiations with the workforce and Unite the Union.
Following the exchange in Parliament, Mr Lavery added: "Fire and rehire is an unacceptable attack on working people. These workers have done nothing wrong, yet they are being threatened with dismissal to force them to accept worse pay and conditions.
"The Government is right to outlaw these practices, but it is deeply concerning that some employers appear to be trying to force through changes before those protections come into effect. Fifty workers and their families are facing unnecessary anxiety in the run-up to Christmas.
"Taylor Wimpey should withdraw these notices immediately and engage in meaningful negotiations with Unite. The message from Parliament today was clear - attempts to worsen workers and conditions before the law changes are unacceptable.
"I will continue to stand alongside these workers and their union until this matter is resolved."
It is understood that Taylor Wimpey is looking to revise the bonuses paid to joiners and scaffolders amid significant disparities in pay rates and terms and conditions with workers doing the same job in other areas. Both roles are paid almost 24% more than workers in other parts of the country.
Responding to Mr Lavery's comments, a spokeswoman for the company said: "As part of a regular benchmarking exercise, Taylor Wimpey North East identified a small number of Direct Labour roles where current terms and conditions required review.
"The consultation process was concluded fairly and openly, and we have consulted ACAS as required. A grievance has now been raised in line with the Construction Joint Industry Council Working Rule Agreement and we are committed to engaging with employees before a final resolution is reached, with a number of potential outcomes still to be considered.
"We are committed to ensuring all employees are treated fairly and consistently across the business and throughout this process."
