Full Breakdown
Glasgow City Council’s stalled “fire-and-rehire” plan and new pay grading scheme
By Drooid · · How we work
The core dispute
Glasgow City Council announced it would dismiss and immediately re-employ all 23,000 non-teaching employees under a new pay-grading system after negotiations with unions collapsed. The plan was paused on September 25 following intervention by Deputy First Minister Jenny Gilruth, but the council says the pause has ended as talks with Unison broke down again. Contracts tied to the scheme are set to take effect from January 1.
Background & context
The council’s existing pay structure, introduced in 2006, was found to discriminate against women, prompting costly settlement of discrimination claims. To address the inequality, the authority devised a 12-grade pay framework that scores jobs on physical effort, mental skills and concentration.
Data & statistics
- 23,000 non-teaching staff are subject to the scheme.
- The council estimates 63 % of graded employees will receive a salary rise, while 11 % face cuts, some losing up to £11,000 a year (e.g., staff in the Assist domestic-abuse advocacy service).
- Unison estimates roughly 20 % of the workforce (about 4,600 employees) have not yet received job evaluations, leaving their future pay uncertain.
- The council has offered an additional year of pay protection and a £110 million back-pay package for staff deemed to be in detriment.
Official statements & responses
- A council spokesman explained that the new scheme is being rolled out “on a phased basis” so that workers in “unique jobs” will be evaluated after those in primary benchmark roles.
- Jenny Gilruth intervened on September 25, prompting the temporary halt to dismissal letters.
Criticism & opposition
- Joe Fagan, Scottish Labour local-government spokesperson, called the renewed threat to workers “deeply concerning.” “It is deeply concerning that this threat to workers is back on the table.” — Joe Fagan, local government spokesperson
- Lana Reid-McConnell, Greens co-leader, said the Scottish Government’s offer of one-year pay protection “does not go far enough” and urged the deputy first minister to provide additional funding.
Why it matters
The council’s financial strain—stemming from past discrimination settlements—has driven it to pursue a rapid overhaul of pay structures. The approach has sparked widespread anxiety among staff, many of whom fear significant pay cuts without knowing their new grade. Moreover, the UK government plans to outlaw fire-and-rehire practices in January, adding urgency to the council’s negotiations.
Conflicting reports & gaps
- Some sources cite 20 % of staff (? 4,600) still awaiting evaluation, while others focus on the 11 % projected to lose pay, creating uncertainty about the overall impact.
- The exact number of employees slated for dismissal varies between “all 23,000” and “more than 20,000” across reports.
- No definitive timeline has been provided for when the remaining evaluations will be completed or when a final agreement with all unions will be reached.
What’s next
The council must finalize the pay-grading rollout before the January ban on fire-and-rehire takes effect. Ongoing talks with Unison, Unite and the GMB will determine whether dismissal letters are issued and whether the additional year of pay protection will be extended. Stakeholders anticipate further negotiations in the coming weeks as the legal deadline approaches.