Dismissal and re-engagement proposal letter template

Dismissal and re-engagement proposal letter template

Our Dismissal and Re-Engagement Proposal Letter Template assists in proposing changes while complying with UK employment regulations.

If you wish to impose a variation of a contract after consultation has not resulted in an agreement, issue this model letter template to propose dismissing the employee and re-engaging them on the new terms.

£7.90
Specifications
Access 12 months (includes updates)
Length 311 words · 2 pages
Jurisdiction England, Wales and Scotland
Based on UK employment law, ACAS guidance
Last review 01/08/2026
Next review 01/02/2027
Delivery Instant download
Formats .doc · .txt · email

Download .doc

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Email
Template

[Sender name]

[Sender address]

[date]

[Recipient name]

[Recipient address]

 

Dear [Recipient first name],

Proposed dismissal and re-engagement

You will be aware that [Company] proposed a change to your terms and conditions of employment following the [group/department/team] meeting on [date] and the individual meeting with you on [date].

The proposed variation was [describe the proposed variation, such as a reduction in pay, new working hours, or an employee relocation to a different workplace].

The explanation we presented for the change was [explain arguments for the suggested modification].

Unfortunately, we were unable to reach an agreement with you regarding the variation by [date of deadline set to achieve agreement], and we will now

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What is a dismissal and re-engagement proposal letter?

When an employer needs to make contractual modifications to an employee's terms and conditions, they should always do so after consulting and agreeing with the employee(s).

If consultation ends with no agreement, employers might occasionally be justified in unilaterally modifying workers' terms and conditions by terminating their contracts and re-hiring them on new terms and conditions under extreme situations, when there are legitimate and compelling business demands and agreement cannot be achieved.

'Fire and rehire' procedures should be used only as a last resort if revisions to employment contracts are critical and voluntary agreement is not available.

The wider HR process

Related HR resources and workflow

Explore the HR resources that may be relevant before and / or after using the Dismissal and re-engagement proposal letter, helping you understand the wider process, maintain appropriate documentation and follow a consistent approach.

Previous
Scripts
Consultation meeting on proposed contract variation script

Use this if you require a robust and practical Consultation meeting on proposed contract variation script.

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Dismissal and re-engagement proposal letter
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Letters
Dismissal and re-engagement letter

If discussions further to consultation have not resulted in an agreement, issue this model letter template to terminate the employee and offer re-engagement on the new terms.

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Implementation guidance

Use these best practice actions, recommended timescales and process stages to understand when and how the Dismissal and re-engagement proposal letter should be used, helping ensure each step is handled consistently and appropriately documented.

Step Description Responsibility Timing
1 Determine the need for contractual changes and explore alternatives through consultation. HR/Management After a reasonable consultation period concludes (at least 1 week)
2 If through consultation an agreement to change terms is not able to be reached, prepare a Dismissal and Re-Engagement Proposal Letter outlining the new terms and reasons for changes. HR/Management Before sending
3 Schedule a meeting with the employee to discuss the proposal and address concerns. HR/Management After preparing letter
4 Share the letter during the meeting, explaining that dismissal and re-engagement are proposed due to the inability to agree on changes. HR/Management During meeting
5 Allow the employee time to consider the proposal and provide feedback. Employee After meeting
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Compliance

UK employment law and best practice

There is no specific UK employment legislation that directly addresses "fire and rehire." Instead, the legality of such practices is subject to existing employment law principles, which include:

  • Employment Rights Act 1996: Provides employees with protection against unfair dismissal, including situations where a dismissal is not deemed fair due to a lack of substantive reason or unfair procedure.

  • Equality Act 2010: Ensures that employees are not unfairly treated or dismissed due to protected characteristics, such as age, gender, disability, or ethnicity.

  • Collective Redundancies and Transfer of Undertakings (Protection of Employment) Regulations 2006 (TUPE): If dismissals are part of a larger business reorganisation, TUPE regulations may apply, which dictate the rights of employees in the event of a transfer of a business or undertaking.

UK employment law guidance for Dismissal and re-engagement proposal letter template

Related Terms and conditions HR templates

Frequently Asked Questions

Can I use this in my small business?

Yes. This template has been designed for organisations of all sizes, including small businesses, charities and growing employers. It follows UK employment law best practice and can be adapted to suit your organisation.

Is it compliant with 2026 UK employment law?

Our templates are developed with UK employment legislation, Acas guidance and HR best practice in mind and are reviewed and updated as relevant requirements change. However, every employment situation is different, so the template should be adapted to the circumstances and checked against the employee's contract and your organisation's procedures before use.

Can I customise it for my organisation?

Yes, we highlight the areas of the document 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.

Do I get instant access to it?

Yes. Once purchased, you'll be able to download it instantly. Templates are provided in editable format (such as .doc or .xls) so you can customise them easily, and in PDF format for easy sharing.

What if I need more help, not just this template?

If you're looking for broader support, we also offer toolkits and library bundles that include the Dismissal and re-engagement proposal 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.

Why should I use this Dismissal and re-engagement proposal letter template, and not AI to generate it?

AI can produce a document quickly, but effective HR documentation needs to be more than well-written words. It needs to reflect relevant UK employment law, HR best practice, practical considerations and the circumstances in which it will be used. These resources have been professionally developed around that wider HR context, drawing on extensive practical experience, rather than simply generating a generic document from a prompt.

About the author

Darryl Horn, Chartered HR Director

Darryl is a Chartered HR professional with over 25 years' experience in senior HR and employee relations roles.

He has extensive practical experience of managing terms and conditions processes and founded hrdocbox to provide businesses with practical, professionally developed HR resources grounded in UK employment law and best practice.

Executive recommendation

"Darryl provides support and advice with excellent judgement, and has a strong understanding of people, policies and UK employment legislation."

"He is someone I trust; consistent, dependable, and committed to doing things properly."

RB
Ruth Brock Chief Executive Officer The Hygiene Bank
The Dismissal and re-engagement proposal letter template is also included in these bundles:

Terms and conditions toolkit Terms and conditions toolkit 41 templates
£34.90

Management library Management library 467 templates
£79.90

Full library Full library 776 templates
£99.90

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