Dismissal and re-engagement letter template

What is this for?

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).

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.

1. Employment Contracts: The employment contract should be reviewed to ensure that the dismissal and re-engagement are in compliance with the terms of the contract. Employers must ensure that they have a legitimate reason for dismissing and re-engaging the employee and that they have followed a fair and reasonable process.

2. Notice Periods: Employers should give the employee sufficient notice of the termination of their current contract and the offer of a new contract. The notice period should be in accordance with the terms of the employment contract and any statutory requirements.

3. Consultation: Employers must consult with the employee and any relevant trade unions or employee representatives before issuing a Dismissal and re-engagement letter. This consultation should involve discussing the reasons for the dismissal and the offer of a new contract.

4. Fairness and Objectivity: Employers must ensure that the decision to dismiss and re-engage an employee is fair and objective, and that the employee has been given sufficient feedback, support, and guidance to meet the required standards.

5. Discrimination Law: Employers must ensure that the decision to dismiss and re-engage an employee is not discriminatory in any way. This means that the decision must not be based on the employee's race, gender, age, disability, religion, sexual orientation or any other protected characteristic.

6. Payment and Entitlements: Employers must ensure that they comply with any contractual entitlements or legal obligations when dismissing and re-engaging an employee. This may include payment in lieu of notice or any other entitlements under the employment contract or relevant legislation.

7. Right to Appeal: Employees have the right to appeal any decision to dismiss and re-engage them. Employers should have a process in place for employees to raise any concerns they may have and for these concerns to be addressed.

8. Documentation: Employers should keep detailed records of the dismissal and re-engagement process, including any feedback, support, and guidance provided, and any performance issues that arose. This documentation may be useful in the event of an appeal or a claim for unfair dismissal.