The MPs donned reindeer hats and Santa antlers for their version of Band Aid's 1980s hit Do They Know It's Christmas?
The lyrics have been adapted to draw attention to claims some big companies are ditching staff perks in order to comply with the National Living Wage, introduced in April.
They accuse firms of cutting overtime payments and Christmas bonuses.
Replacing the famous "feed the world" lyric with "keep their perks", the MPs urge employers: "Don't be Scrooge, it's Christmas time."
The National Living Wage, announced by former Chancellor George Osborne, requires employers to pay staff aged 25 and over at least Â£7.20 an hour.
Some firms cut overtime pay rates or benefits such as free lunches to fund the rise in basic pay rates.
But several companies who reduced perks said the moves were unrelated to the National Living Wage.
MP Siobhain McDonagh, who has been campaigning on the issue, organised the recording.
She was joined by colleagues including shadow education secretary Angela Rayner and Barnsley Central MP Dan Jarvis.
Writing in the Grimsby Telegraph, another of the singing MPs, Melanie Onn, said it was a "fun/highly embarrassing way of raising an important issue".
Labour MPs swapped the green benches for the music studio to record a  Christmas song about workers' rights.