Tesco has lost a high-profile “fire and rehire” case in the UK’s supreme court over proposals by the supermarket to let some staff go and re-employ them on lower pay.

The dispute with the shopworkers’ union Usdawbegan in 2021 and centred on moves to use firings or the threat of dismissal to remove retention payments awarded years earlier to some workers at distribution centres.

The UK’s highest court ruled that Tesco Stores Ltd could not terminate the employment contracts of staff to stop them receiving the retention payments and then rehire them on new contracts without the top-up.

The case has been closely watched because it raises wider questions about the practice of “fire and rehire” and an employer’s right to terminate a contract by giving notice to the employee and then re-employing them on less generous terms.

  • @[email protected]
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    fedilink
    43 months ago

    This is what I always say when arguing about this at work, that if a company is making X billion in profit and we decide to tax them heavier so they only make half of X billion in profit they’re not going to leave as that’s still at lot of profit.

    Sure there is an argument that it could set a precedent in other countries to tax harder but still some profit is better than no profit and if not then you don’t have a viable business anymore and someone else will capitalise.

    • sunzu2
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      13 months ago

      Capitalist hate competition once they got market share…

      The fact that they are able to corner us with help of state actors is an abomination and yet bootlickers love it.

      • Promethiel
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        22 months ago

        I sometimes think the only people who hate capitalism more than leftists are “successful capitalists”. It would help explain why they’ve always trended towards fascism since before the term was even coined.