Glasgow City Council has withdrawn plans to "fire and rehire" more than 23,000 workers after reaching an agreement with trade unions on a new pay and grading scheme that triples pay protection to three years.

The settlement, brokered through negotiations involving the council, the Scottish government and the unions Unison, Unite and GMB, removes the prospect of thousands of employees being forced onto new contracts in the new year. The dispute centered on a revised pay and grading structure designed to settle historical and ongoing equal pay claims from female workers.

Union members will vote in a ballot later this month, and negotiations will continue beforehand on several unresolved issues, including:

• lower-paid workers
• allowances
• unevaluated jobs
• equality impacts
• the operation of the new pay model

What does the deal change?

The core concession is the extension of pay protection from the original proposal to a full three years for the more than 23,000 affected workers. The council has also abandoned the fire-and-rehire mechanism, which had drawn heavy criticism since it was first announced.

Council leader Ricky Bell said: "This deal means we are able to remove the unpalatable prospect of fire and rehire, with proposals put to members in a ballot later this month."

Bell added that GMB and Unite had already agreed to take the deal to their members, with Unison now engaging its membership. "We are moving closer to the outcome we have always wanted to achieve: ending pay discrimination in Glasgow City Council," he said.

What remains unresolved?

Not every worker comes out ahead. Unison's Glasgow City branch secretary, Chris Sermanni, warned that while some employees are owed substantial increases, others face significant losses — and some still do not know their final outcome.

"Unison stood firm because Glasgow's workers deserved better than what was originally put on the table. Staff will have three years' pay protection and further commitments around workers facing detriment," Sermanni said.

"Thousands of workers are owed substantial and long-overdue increases and we want them to receive every penny. At the same time, other workers face significant losses and some still don't even know their final outcome," he said, adding that the period ahead would be used to keep fighting to give the whole workforce the information needed to make their decision.

What role did the Scottish government play?

Scottish government intervention proved decisive in unlocking the talks. Mandy McDowall, regional organiser for Unison Scotland, said: "The intervention of the Scottish government has helped create the space for further progress."

"We'll now build a major workplace campaign across Glasgow so members understand exactly what's on the table, what has been won and what remains unresolved," McDowall said.

What happens next?

Ballots of union members later this month will determine whether the settlement holds. If members approve, the council will move forward with the new pay and grading system — a structure it says will deliver a fair and sustainable framework for employees while protecting public services. Bell framed the outcome as bringing the council "closer than ever" to delivering that system and ending pay discrimination across its workforce.