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Daily Mirror
Daily Mirror
Business
Graham Hiscott

Argos staff at centre of fresh 'fire and rehire' controversy with 'hated' new contract

Argos has become the latest big business embroiled in a “fire and rehire” controversy.

Hundreds of workers at the retail chain, owned by Sainsbury’s, have been told to sign a hated new contract or face the chop.

However, the replacements deal will leave some staff thousands of pounds a year worse off.

The Unite union says it amounts to yet another example of a major firm using “fire and rehire” tactics to slash costs and workers’ rights.

It has led for calls for use of the policy to be outlawed.

Unite leader Len McCluskey (Daily Mirror)

A TUC survey found one in 10 workers have been threatened with “fire and rehire” plans during the Covid-19 pandemic.

The row at the former catalogue chain centres on a group of around 700 largely office-based workers.

They include those in head office and distribution depots.

Among the proposed changes are reducing employer pension contributions, leaving staff to pay more to maintain the same benefit.

Workers will also get up to four fewer days annual holiday.

And those getting company car allowances will see the amount slashed by up to £3,000 a year.

An insider claimed some staff would be down £4,000 a year.

A document seen by the Mirror states: “Colleagues who choose not to accept the T&Cs will be served with notice of termination of employment at their final consultation and leave the business after working their notice.”

One worker said: “The only way to put what they’re doing is bullying. It is wrong.”

Unite general secretary Len McCluskey said: “Fire and rehire is ripping through our workplaces like a disease.”

Sainsbury’s agreed a £1.4billion takeover of Argos in 2016.

The supermarket said the vast majority of Argos staff had already moved to new contracts over time.

It stressed those affected will receive top-up amounts for 18 pay periods.

A spokesman added: “We want our terms and conditions to be fair, consistent and competitive for everyone.”

An insider at the retailer claimed some staff would be down £4,000 a year (Getty Images)

It comes after Sainsbury’s last month confirmed plans to close an Argos depot at Bridgwater, Somerset, with the loss of 230 jobs.

Unite is also co-ordinating industrial action at a Jacobs Douwe Egberts coffee plant in Banbury, Oxon, over “fire and rehire” plans.

A spokesman for JDE UK said: “We have not issued any notices of dismissal and re-engagement at this time.”

However, a strike by bus drivers at Go North West in Manchester has ended after they accept a deal over pay and conditions.

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