What is dismissal and re-engagement?
Often called fire and rehire, this is where an employer gives notice under an existing contract and offers employment on different terms. An employer should try to reach agreement on proposed changes first and consider alternatives. Whether a change needs consent depends on the contract, any lawful flexibility clause, collective agreement and circumstances; not every change to duties, hours, location or pay is treated identically.
Great Britain: the current Code
The statutory Code of Practice on dismissal and re-engagement came into force in July 2024. It expects meaningful consultation, sharing relevant information and exploring alternatives; dismissal and re-engagement should be a last resort. The Code does not make every breach automatically unfair or every dismissal illegal. A tribunal may take unreasonable non-compliance into account and, in specified claims, adjust compensation by up to 25%. Collective consultation may also be required where at least 20 dismissals are proposed at one establishment within 90 days, even where re-engagement is offered; different rules apply if the dismissal is genuinely for redundancy.
What to do
Ask for the proposed terms and reasons in writing. Compare them with your current contract, check any flexibility clause and seek time to respond. Speak to your union or representative; ask how alternatives have been considered and keep a record of consultation. You need not sign immediately, but refusing a change does not guarantee continued employment. Working on changed terms without objecting may be treated as acceptance in some circumstances. Equally, do not resign before obtaining tailored advice: constructive dismissal is difficult to establish. If dismissed, check notice and appeal rights, any redundancy issue, tribunal time limits and eligibility for an unfair dismissal claim.
The Employment Rights Act 2025 contains further restrictions scheduled for January 2027; those provisions are not yet in force on 30 September 2026. Current GB unfair dismissal claims generally require two years' service, subject to exceptions. Northern Ireland has its own employment legislation, LRA guidance and usually a one-year ordinary unfair-dismissal qualifying period; do not assume the GB statutory Code or GB reforms apply there.
👉 Explore your position: https://myredundancyrights.co.uk/legality-checker
Official guidance: Acas dismissal and rehire; GOV.UK statutory Code; Acas reform timetable.