The Code of Practice on dismissal and re-engagement came into force on 18 July 2024. The Code places greater obligations on employers in circumstances where changes to employees’ terms and conditions are required. Failure to comply with the Code will likely result in up to 25% uplift in any employment tribunal award made.
The Code, which was introduced by the Conservative Government, comes into effect after the Labour Government announced that they intend to replace the Code with a strengthened Code that will ban the practice of fire and rehire, other than in extreme circumstance where failure to make the desired changes to contractual terms may result in mass redundancies, bankruptcy etc.