Offer of suitable alternative employment letter templateReading time 4 minutes (inc. support info). Reviewed 15/03/2023.
If you can offer suitable alternative employment for an employee in a redundant role, issue this model letter to them to offer the new role to them.
What is an Offer of suitable alternative employment letter?
An Offer of suitable alternative employment letter is sent to an employee who has been identified as at risk of redundancy, offering them an alternative role within the company. This offer is made after a consultation process has taken place, during which the employer has explored all possible options to avoid making redundancies.
The letter should provide details of the alternative role, including job title, duties, pay, hours of work, and any other relevant terms and conditions of employment. It should also explain why the employer considers this to be a suitable alternative to the employee's current role, and outline the consequences of accepting or rejecting the offer.
If an employee accepts an offer of alternative employment, they will typically start their new role on a specified date. If they reject the offer, their employment may come to an end on the date originally proposed for their redundancy, unless there are other suitable roles available or they are entitled to a statutory redundancy payment.
It is important for employers to ensure that any offers of alternative employment are genuine and reasonable, and that they comply with all relevant employment laws and regulations.
What legal and best practice aspects should employers be aware of?
The Employment Rights Act 1996: This legislation requires employers to offer suitable alternative employment to employees who are at risk of redundancy. Employers must provide employees with written details of any proposed alternative employment, including the terms and conditions of the new role, and allow a reasonable amount of time for employees to consider the offer.
The Equality Act 2010: This act prohibits discrimination on the grounds of certain protected characteristics, such as age, gender, race, disability, and sexual orientation. Employers must ensure that any offers of alternative employment do not discriminate against employees on any of these grounds.
The ACAS Code of Practice on Settlement Agreements: This code provides guidance on good practice for negotiating and agreeing on settlement agreements, which may be used to facilitate alternative employment offers. Employers should aim to follow this code to ensure that their procedures are fair and reasonable.
The Trade Union and Labour Relations (Consolidation) Act 1992: This act sets out the legal framework for collective consultation in the event of redundancies. Employers must ensure that they have followed a fair consultation process before offering alternative employment to employees.
The Working Time Regulations 1998: This legislation sets out the maximum number of hours that employees can work each week, as well as minimum rest breaks and annual leave entitlements. Employers must ensure that any changes to working patterns or hours as a result of alternative employment do not breach these regulations.
You must try and move employees selected for redundancy into other jobs within your organisation instead (offer 'suitable alternative employment').
You must identify any available jobs in your organisation and talk to the affected employees to see if they agree they're suitable.
If a role is suitable, you should offer it instead of redundancy. If you do not, the employee could make a claim to an employment tribunal for unfair dismissal.
They should not have to apply for the role. But if more than one employee is interested in the same role, you must offer the role to any employees on maternity leave or Shared Parental Leave first. For all other employees, you must follow a fair process, for example holding interviews for the role.
When you offer an employee another role, it must be:
put in writing
offered before their current contract ends
a different role to the one they're currently doing – you’ll need to explain how it's different
start within 4 weeks of their current role ending
Offer of suitable alternative employment [Delete this line]
Dear [Recipient first name],
Offer of suitable alternative employment
We are pleased to conclude our recent discussions and formally offer you the position of [role] with effect from [date] reporting to [title]. I have enclosed a role profile.
The offer of this position is subject to a 4-week trial period on both sides from the date of commencement, which will be upon written acceptance of this offer. Should either party decide during or at the end of this period that you are not suitable for this position you may be entitled to redundancy payment.
All other terms and conditions remain per your contract of employment.
Please sign and date one copy of this letter and return to me, retaining the other for your records.
In the meantime should you have any questions regarding this offer please contact me.
Yours [faithfully | sincerely],
[Sender job title]
Redundancy confirmation letter template
If, after consultation, the decision has been made to confirm the redundancy of a role, send this model confirmation letter template to the employee affected .
Successful alternative employment trial period confirmation letter template
If a trial period in a suitable alternative role has been successful, send this model letter to the employee to confirm their permanent appointment in the new role.
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