Full Breakdown
Glasgow City Council pauses fire-and-rehire plan amid equal-pay dispute
By Drooid · · How we work
The halted fire-and-rehire proposal
Glasgow City Council announced that, if no agreement was reached with unions, all non-teaching staff – estimated at between 23,000 and 25,000 workers – would be dismissed and immediately re-engaged on new contracts effective January 1. The plan was presented as the only way to replace a pay-grading system the council said was unlawful. On September 24, talks with Unite, GMB and Unison broke down, prompting the dismissal threat. After intensive discussions involving Deputy First Minister Jenny Gilruth and the Scottish Government, the council said it would pause the fire-and-rehire process and would not send dismissal letters.
Background & Context
The dispute stems from a pay structure introduced in 2006 (the Workforce Pay and Benefits Review) that was intended to equalise pay between traditionally male- and female-dominated roles but in practice entrenched a gender pay gap. Legal challenges have already cost Glasgow roughly £770 million. A new framework to bring the council’s pay scales into line with equal-pay law was approved by councillors on August 20 by a 13-vote to nine margin and will be rolled out from April 2027.
Official Statements & Responses
Deputy First Minister Jenny Gilruth called the situation “quite challenging” and said her intervention secured a pause, allowing the ACAS package to be reconsidered. Justice Secretary Neil Gray urged all parties “to get around the table” and affirmed Scottish Government support for “fair work principles”. Chief executive Susanne Millar acknowledged the emotional impact on staff and reiterated the aim of replacing the discriminatory pay scheme while protecting employees where possible.
Criticism & Opposition
Unison education convener Sylvia Haughney described the council’s claim that Unison was to blame as “misleading” and “false”, and called the fire-and-rehire threat “utterly immoral”. GMB organiser David Hume criticised the council’s decision and said the threat should not have been made. Unite industrial officer Graham McNabb warned the council must remove direct threats such as fire-and-rehire. Labour leader Michael Marra labelled the proposal “despicable” and “straight out the Tory playbook”, pledging that the UK Labour government will outlaw the practice within months.
On-the-Ground Reports
Joanne, a learning-support worker with 25 years of service, told the BBC she was “absolutely distraught”, fearing a pay cut could jeopardise her mortgage and family commitments.
Conflicting Reports & Gaps
Sources differ on the exact number of staff targeted, citing figures of 23,000, 23,000–25,000 and “up to 25,000”. Unison’s position is also reported variably: some outlets say the union will ballot its members after discussions, while others quote the council that Unison has refused to ballot. No definitive timeline has been given for a final collective agreement.
What’s Next
Negotiations are set to restart early next week with the ACAS conciliation package back on the table. Council convener Allan Casey reiterated the goal of securing a collective agreement that can be put to a ballot. Both GMB and Unite have warned they will enter industrial dispute if fire-and-rehire is pursued, while Unison remains willing to discuss a revised offer. The outcome will determine whether the council proceeds with the new pay and grading scheme or seeks alternative mitigation measures before the January legal deadline.