Fire & rehire: lessons from P&O

• The final draft of the statutory code of practice on dismissal and re-engagement was published in February 2024 and is due to take effect in the summer.
• The government believes the new code will help ‘tackle fire and rehire practices by balancing protections for workers with business flexibility’.

A final draft of the new statutory code on dismissal and re-engagement (fire and rehire) has now been laid before Parliament. Subject to its approval by a resolution of both Houses of Parliament, the government plans to bring it into effect over the summer.

The publication of the final version of the code follows last year’s consultation over an earlier draft. That in turn was prompted by the P&O scandal in 2022, when nearly 800 seafarers were dismissed without any consultation, though they were not offered re-engagement on new terms in that case.

Purpose & scope of code

When an employer is proposing adverse