Unite the union is launching a multimillion-pound legal case against ready meal maker Oscar Mayer over alleged ‘fire and rehire’ tactics.
The union is suing the manufacturer – which supplies to most major supermarkets including Tesco, Asda, Waitrose and Sainsbury’s – on behalf of its members, amid ongoing strikes at its Wrexham factory.
More than 500 workers at Oscar Mayer’s Wrexham site have taken part in industrial action since 12 September over the company’s plans to reduce wages by up to £3,000 a year under new terms and conditions.
Bosses also planned to remove some paid breaks, reduce other breaks and eradicate any enhanced payments and days off in lieu for working bank holidays, according to Unite.
Oscar Mayer was “threatening to fire and rehire the workers on new contracts if they do not voluntarily accept the changes, which will see their take-home pay plummet”, the union claimed.
Initially meant to run for four weeks, the strike has now been extended for another two weeks “due to the company’s refusal to enter into negotiations to resolve the dispute”, Unite said.
The extended strikes coincide with Labour pledging to end the practice known as ’fire and rehire’ – whereby employees are dismissed and offered re-employment on less favourable terms – as part of its flagship Employment Rights Bill.
Read more: Wrexham Oscar Mayer workers strike following ‘fire and rehire’ threats
Unite has now informed the ready meals manufacturer it is mounting a series of unfair dismissal cases and protective awards cases on behalf of all its members “for a failure to correctly consult with the workforce, prior to fire and rehiring them”.
The protective awards claim alone could be worth in excess of £3m, it claimed.
Unite claims the workers – “many of whom speak English as a second language” – are being threatened with dismissal without compensation if they refuse to agree to signing new contracts.
“Alarmingly, some members have been dismissed as they have not fully understood the notice period deadlines to accept the changes.”
Unite general secretary Sharon Graham said: “Shame on Oscar Mayer for cynically trying to fire and rehire workers in order to boost turnover at the expense of already low-paid workers.
“Today we are putting Oscar Mayer on notice that no stone will be left unturned, be it industrially, legally or politically in the defence of our members.”
Sainsburys are another big supermarket supplied by Oscar Mayer, whose workers are on strike fighting against #FireAndRehire.@sainsburys our ask is simple, do the right thing and call out your supplier, Oscar Mayer, for this disgraceful attempt to plunge its workers into poverty pic.twitter.com/ejZJg2vyML
— UniteWales (@UniteWales) October 7, 2024
A spokesperson for Oscar Mayer said: “We remain disappointed by Unite’s decision to undertake industrial action and by their public claims to date, which have been factually inaccurate. We have engaged fully and constructively with our colleagues and their representatives throughout this process and the majority of our employees have signed the new terms .
”At all times we have complied fully with all relevant regulations, continue to do so, and will defend our approach in the strongest terms should Unite pursue this spurious legal action.
“The changes we have made have not been made lightly but are absolutely necessary to ensure a long-term sustainable business and protect the jobs we provide in the local community.
”These measures also put us in line with the majority of other businesses in our sector and similar companies in the local area. We continue to engage with our colleagues.”
Unite the union has also reported the Job&Talent employment agency, which supplies temporary staff to Oscar Mayer, to the Employment Agency Standards Inspectorate for advertising for work at the Wrexham ready meal factory during the strikes.
Unite claims to have warned the employment agency ahead of the strike that it was unlawful to provide labour to replace striking workers.
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Despite this, Job&Talent allegedly sent text messages to previous job applicants to the factory after industrial action began saying work was available, Unite claims.
Wrexham MP Andrew Ranger, who has joined the workers during their strike, urged Oscar Mayer to “fully engage with workers and their representatives, Unite the Union, as soon as possible to reach a fair, ethical and mutually satisfactory resolution to the current situation at their production facility in Wrexham”.
“The threat of employees being fired and then rehired on worse pay, terms and conditions is something that has no place in 21st century industrial relations and at the Wrexham factory is completely unacceptable.”
Ranger added: “The new UK government has pledged to end the use of fire and rehire practices very soon. It would not be a good look for the company to be one of the last to use it – or at all.”
Labour’s Employment Rights Bill was announced in the King’s Speech in July. Proposals include ending zero-hour contracts and boosting worker rights from day one of employment.
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