How to change the terms of existing employment contracts

The XpertHR "how to" section provides practical guidance for employers on the steps to take when varying employees' contracts. 

This guide sets out the procedure for an employer to follow when it is proposing to change contractual terms for employees and the factors to consider at each stage. It explains the risks in choosing to implement a variation unilaterally. 

While obtaining the consent of the employees is always likely to be the safest route to achieving a variation, it will not always be possible. There may be a contractual clause that authorises the change - the guide looks at the possible pitfalls in this approach and the steps the employer can take to minimise the risk of successful claims against it. In some circumstances, the employer may decide to dismiss and re-engage employees who do not consent to the change, in which case, a statutory duty to consult collectively can arise. The guide looks at the process to follow. 

• How to change the terms of existing employment contracts Guidance for employers on the practicalities of varying employment contracts. 

Also

The XpertHR policies and documents section provides model documents on variation of contract, including a letter seeking an employee's express agreement to a variation in contract terms and a letter inviting an employee to an individual meeting to discuss his or her potential dismissal and re-engagement on new terms. 

The XpertHR FAQs section answers employers' questions on varying contracts, including:

• Is there any way to change the terms of an employee's contract if there is no provision for the change in the contract?
• How can an employer improve the chances of an employee agreeing to a change in terms and conditions?
• What procedures must an employer follow if it needs to cut employees' pay?