A TORY business minister was criticised today for advocating the use of “firing and rehiring” workers on worse terms and conditions for bosses in “real financial difficulty.”

It came amid pressure from Labour MPs for the government to ban fire and rehire tactics that have been used during the Covid-19 pandemic.

MPs have condemned British Airways in recent months for its handling of up to 12,000 job cuts.

The firm was accused of threatening a “fire and rehire” scheme if an agreement with workers could not be reached.

Business, Energy and Industrial Strategy (BEIS) parliamentary under-secretary and minister for London Paul Scully condemned “unacceptable” threats of using fire and rehire in negotiations, but said that there are situations in which such changes to terms and conditions may be required.

During BEIS questions, he said: “It’s important to retain a flexible labour market where we remain eleventh out of 140 when it comes to the ease of hiring and indeed of firing workers to make sure that we can protect important sectors in this country.”

Cardiff North Labour MP Anna McMorrin said that many businesses are “behaving badly” in using fire and rehire tactics “to undermine pay and working conditions to line their own pockets.”

She added: “Will this government stop the dithering and the delay, and outlaw these bad practices and protect workers’ rights?”

Mr Scully said: “Businesses in real financial difficulty do need the flexibility to offer new terms and conditions to save as many jobs as they can.”

Shadow energy minister Alan Whitehead said: “It’s pretty telling that when asked about protecting workers amid reports of worrying fire and rehire tactics being used, the minister pointed to the importance of it being easy to fire workers.

“These tactics are wrong, hit working people hard and are deeply damaging. The minister should sort out his priorities.”