Table of Contents
You will likely need to change your employees’ employment contracts as an employer. However, when you make changes to contracts of employment, there is a process you need to go through. This includes considering the changes, consulting staff and their representatives and agreeing on the changes. Once you and your employee have agreed on the changes, there are specific actions you must take to secure the contractual changes. This article will explain what you, as an employer, need to do once employment contract changes are agreed upon in England.
1. Be Transparent
Employment contracts can be either in writing or verbal. Hence, where you have agreed on certain changes, there is no requirement for you to ask your staff to sign a new employment contract.
However, it is good practice to put an employment contract change in writing. Putting employment contract changes in writing can ensure that you and your employee are clear on the changes. Hence, it can prevent future disagreements. You may choose to put the written changes in the format of:
- a letter; or
- an email.
Whatever written format you choose, it is a good idea to:
- ask your staff to confirm the change is what they agreed to;
- see if there are any concerns from staff regarding the changes; and
- make sure staff are clear on where they can access the details of the change, such as in your staff handbook or your workplace intranet.
2. Put the Changes in Writing
However, there may be times when your employment contract changes have been agreed upon and are required to be put into a formal written format. This will depend on the nature of the employment contract changes.
Therefore, where there are changes to terms which are legally required to be in your employee’s written statement of employment particulars, this written statement will need to be amended to reflect the new changes. You must do this within one month of when the changes occurred. Alternatively, if the changes form part of a collective agreement with the trade union, you have two months to make the alteration in writing.
Changes which you need to include in the written statement of particulars include changes to:
- job titles;
- job descriptions;
- locations of work;
- hours of work;
- rates of pay; and
- details of holiday entitlement.
Call 0808 196 8584 for urgent assistance.
Otherwise, complete this form and we will contact you within one business day.
3. Remain Communicative
Once your employment changes are agreed upon and given to your employees in writing, you must ensure that those affected understand what the change means for them.
When explaining employment contract changes, you will need to ensure that you make clear:
- what has changed;
- why the change has occurred;
- how the change affects your staff;
- the date the change will come into place and how;
- whether it is a permanent change and, if not, the duration of it; and
- who employees should contact if they have questions.
4. Monitor Employment Contract Changes
Once you have put the changes in writing, you need to monitor the changes as you move forward. Monitoring employment contract changes are essential as change can affect your employee’s overall well-being. This includes their:
- emotions;
- mental well-being;
- physical well-being;
- anxiety levels;
- morale; and
- performance.
When monitoring your agreed employment changes, there are specific issues you need to look out for. These issues include:
- if the changes are having the effect expected and on the right people;
- whether the changes are consistent and fair in practice;
- whether staff are getting used to the changes; and
- any other observations related to the changes.
How long you monitor your agreed employment changes ultimately depends on the circumstance of the change.
Key Takeaways
Once your employees have agreed upon your employment contract changes, you should:
- put the changes in writing;
- ask your employee to confirm that these are the changes they agreed to;
- ensure that your employees understand what the changes mean, including when they will occur; and
- monitor the changes.
If you need help changing employment contracts, our experienced employment lawyers can assist you as a member of our LegalVision membership. For a low monthly fee, you will have unlimited access to lawyers to answer questions and draft and review documents for a low monthly fee. So call us today on 0808 196 8584 or visit our membership page.
Frequently Asked Questions
There is no legal requirement to put the contract changes your employees have agreed to in writing unless they are changes in the written statement of employment. However, writing all employment contract changes is essential for clarity.
When your employment contract changes are agreed upon, you should take various actions. For example, you should ensure your employees understand your changes and monitor them once they are in force.
We appreciate your feedback – your submission has been successfully received.
