Salary reduction proposal to avoid redundancy letter template

Salary reduction proposal to avoid redundancy letter template cover logo
Salary reduction proposal to avoid redundancy
Salary reduction proposal to avoid redundancy letter template cover image
£7

If you have proposed a salary reduction as an alternative to redundancy, send this model letter to them to confirm the proposal and request their agreement.

  • Includes Salary reduction proposal to avoid redundancy letter template, plus 12 months’ access with all updates provided free of charge and notified to you.
  • UK-specific accuracy.
  • 326 words over 2 pages.
  • Last updated 16/09/2025.
  • Format: Word / plain text / email.
  • Delivery: Instant download after purchase (no physical item).
  • Access: Download link shown here after checkout.
  • This Salary reduction proposal to avoid redundancy letter template will SAVE you up to 1 hour drafting & research. Save cost. Reduce risk.
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[Sender name]

[Sender address]

 

[date]

[Recipient name]

[Recipient address]

 

Dear [Recipient first name],

I refer to my meeting with you on [date], during which we discussed whether you would be willing to agree to a reduction in your current basic salary level. The proposed salary reduction would be [insert details, such as a percentage or a fixed amount][, and it would be in effect for [insert duration, such as three months or six months]]. We understand that a salary reduction is a significant change, and we want to assure you that we will do everything we can to minimise the impact on your finances.

As I explained to you, due to

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Salary reduction proposal to avoid redundancy letter template purpose

A salary reduction proposal to avoid redundancy letter is used to inform employees that the company is exploring alternatives to potential redundancies in the way of a permanent or temporary reduction in salaries. The letter aims to explain the proposal in detail, including the percentage or fixed amount of the proposed salary reduction and the duration of the proposed reduction (if temporary).

The purpose of the letter is to encourage employees to consider the proposal and to provide them with an opportunity to ask questions and express concerns. The letter is intended to be transparent about the financial challenges facing the company and to seek the input and cooperation of employees in finding a solution that works for everyone.

Ultimately, the purpose of the letter is to avoid redundancies and to support employees during a challenging time. The letter communicates the company's commitment to finding alternatives to job losses and to working collaboratively with employees to find a solution that is fair and reasonable for all parties involved.

Practical application of a Salary reduction proposal to avoid redundancy letter template


  • The Salary reduction proposal to avoid redundancy letter template should be actioned / delivered as soon as reasonably practical.
  • It is sent / delivered by an employer / HR team to an employee.
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Salary reduction proposal to avoid redundancy workflow

Check which resources should be implemeted before and/or after the Salary reduction proposal to avoid redundancy letter template, to understand the workflow.

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Frequently Asked Questions about a Salary reduction proposal to avoid redundancy letter template

  1. Can I use the Salary reduction proposal to avoid redundancy letter template in my small business?

    Yes. The Salary reduction proposal to avoid redundancy letter template is designed to be flexible and suitable for organisations of all sizes, including small businesses and charities. It follows UK employment law best practice, so even if you don't have an in-house HR team, you can confidently apply it.

  2. Is the Salary reduction proposal to avoid redundancy letter template compliant with 2026 UK employment law?

    Absolutely. Like the Salary reduction proposal to avoid redundancy letter template, all of our templates are drafted with the latest ACAS guidance and UK employment legislation in mind. We review and update them regularly, so you can be confident they remain compliant.

  3. Can I customise the Salary reduction proposal to avoid redundancy letter template for my organisation?

    Yes, we highlight the areas of the Salary reduction proposal to avoid redundancy letter template that you need to update with your own details, and where you need to make decisions to suit your situation. This saves you time and ensures that you meet best practice.

  4. Do I get instant access to the Salary reduction proposal to avoid redundancy letter template?

    Yes. Once purchased, you'll be able to download the Salary reduction proposal to avoid redundancy letter template instantly. Templates are provided in editable Word or Excel format so you can customise them easily, and in PDF format for easy sharing.

  5. What if I need more help, not just a Salary reduction proposal to avoid redundancy letter template?

    If you're looking for broader support, we also offer toolkits and library bundles that include the Salary reduction proposal to avoid redundancy letter template, along with other HR templates and policies for fully managing your situation. These may be more cost-effective if you need deeper advice.

  6. Why should I use this Salary reduction proposal to avoid redundancy letter template, and not AI to generate it?

    The risk of using a free AI-generated template 'without review' includes your legal exposure, missing context, and no awareness of the wider process, whereas purchasing the Salary reduction proposal to avoid redundancy letter template from us mitigates that risk.

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