Contract variation agreement (with adjustment to original proposal) letter template

£9.99
UK-specific Editable Instant download 12 months' updates

This Contract Variation Agreement records an agreed change to an employee's terms and conditions following discussion and adjustment of the original proposal. It clearly sets out the original proposal, the adjustment agreed and the final contractual terms that will apply.

Use this template to:

  • Record an agreed variation to an employee's contract
  • Explain how the original proposal was adjusted following discussion
  • Clearly document the final terms agreed by both parties
  • Confirm the effective date and duration of the revised arrangement
  • Clarify which existing contractual terms remain unchanged
  • Create a clear written record of the agreement and employee acceptance
Contract variation agreement (with adjustment to original proposal) letter template
2026 Reviewed
Get the complete resource

Don't just buy one template — get the complete Terms and conditions templates toolkit

If you are changing employee terms and conditions, the toolkit brings together practical HR templates covering proposals, consultation, agreement, communication and documentation.

41 templates £24.99 12 months' access & updates
View the complete toolkit

What's included in this template?

This template brings together the key information, sections and considerations you need to create a clear, comprehensive and professional HR document. Preview the document below.

  • Original proposed contractual change
  • Employee feedback or alternative arrangement considered
  • Adjustment made to the original proposal
  • Final terms agreed by both parties
  • Effective date and duration of the variation
  • Employee acknowledgement and agreement
Template

Download .doc

Copy [to paste]

Email

[Sender name]

[Sender address]

[date]

[Recipient name]

[Recipient address]

 

Dear [Recipient first name],

Contract Variation Agreement – Revised Proposal

Further to our discussions regarding the proposed change to your terms and conditions of employment, I am writing to confirm the revised arrangement that we have now agreed.

Original proposal

Our original proposal was to make the following change to your terms and conditions:

[Set out the original proposal clearly, including the relevant contractual term, proposed change, proposed effective date and whether the proposed change was intended to be temporary or permanent.]

Discussion and adjustment to the proposal

Following discussion, you raised the following points / proposed the following alternative arrangement:

[Summarise the employee's concerns, comments or alternative proposal where appropriate.]

We have considered these points and have agreed to adjust the original proposal as follows:

[Set out the adjustment agreed between the parties.]

Final agreed variation

The final variation to your terms and conditions of employment is therefore as follows:

Existing contractual term: [Existing Term]
Original proposed change: [Original Proposal]
Adjustment agreed: [Adjustment to Original Proposal]
Final agreed term: [Final Revised Term]
Effective date: [Effective Date]
Duration: Permanent / Temporary

PREVIEW ENDS HERE

This is the end of the preview

You've seen 40% of how the Contract variation agreement (with adjustment to original proposal) letter template is structured. Get the complete editable template instantly and customise it for your organisation.

£9.99
Specifications
Access 12 months, with updates
Length 2 pages • 485 words
Jurisdiction England, Wales, Scotland
Based on UK law, ACAS guidance
Last review 18/09/2026
Next review 18/03/2027
Delivery Instant digital delivery
Formats .doc · .txt · email

What is a contract variation agreement (with adjustment to original proposal) letter?

Contract variation agreement (with adjustment to original proposal) letter template preview

Contract variations do not always follow the employer's original proposal. An employee may raise concerns, suggest an alternative or negotiate a different arrangement, resulting in a revised proposal that both parties are willing to accept. This agreement provides a clear record of that process and confirms the final contractual terms that have been agreed.

Recording the original proposal

The agreement records the substance of the original proposed change so there is a clear distinction between what was initially proposed and what was ultimately agreed. This is particularly useful where the final arrangement differs materially from the original proposal.

Documenting the adjustment

The document provides space to explain the adjustment made following discussion with the employee. This might involve a different working pattern, a reduced or phased change, a different implementation date, a temporary arrangement or another alternative that addresses the underlying business requirement.

Confirming the final agreement

The final contractual position should be stated clearly and independently of the earlier proposal. The employee should be able to understand exactly what their terms will be after the variation takes effect without having to interpret the negotiation history.

Recording the effective date

The agreement confirms when the revised terms will take effect and whether the arrangement is permanent or temporary. Where the variation is temporary, the document should explain what happens at the end of the agreed period.

Maintaining a clear contractual record

The agreement should be retained alongside the existing contract and other employment records. Unless expressly changed, the employee's remaining contractual terms continue to apply. Relevant HR, payroll and other records should also be updated to reflect the final agreed arrangement.

Example

An employer proposed changing an employee's working pattern from five days per week to a four-day working week as part of a wider operational change. The employee was concerned about the proposed working days and explained that the original arrangement would create difficulties with their existing commitments.

During consultation, the employee suggested an alternative pattern involving four longer working days, with different days off. The employer considered the proposal against its operational requirements and concluded that the alternative would still meet the business need.

The parties therefore agreed an adjusted arrangement rather than proceeding with the original proposal. The final agreement recorded the original proposal, the employee's alternative, the adjustment that had been agreed and the final working pattern.

The variation letter confirmed that the revised arrangement would take effect from the agreed date and that all other contractual terms would remain unchanged. The employee signed the agreement and the employer updated its HR and payroll records to reflect the final arrangement.

The wider HR process

Related HR resources and workflow

Explore the HR resources that may be relevant before and / or after using the Contract variation agreement (with adjustment to original 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.

This
Contract variation agreement (with adjustment to original proposal) letter
Premium content

To continue reading, purchase this item or a parent toolkit, library or our full library.

Implementation guidance

Use these best practice actions, recommended timescales and process stages to understand when and how the Contract variation agreement (with adjustment to original proposal) letter should be used, helping ensure each step is handled consistently and appropriately documented.

Step Description Responsibility Timing
1 Set out the original proposed contractual change, the reason for it and the intended implementation arrangements. HR / Manager Before consultation
2 Discuss the proposal with the employee and consider any concerns, alternative suggestions or adjustments that may provide a workable solution. Manager / HR During consultation
3 Confirm the adjusted proposal and ensure both parties understand the final arrangement, including any temporary or permanent elements. HR / Manager / Employee Before final agreement
4 Issue the variation agreement setting out the original proposal, adjustment and final agreed contractual terms, and obtain written acknowledgement where appropriate. HR Before the variation takes effect where practicable
5 Update the written employment particulars, HR, payroll and other relevant records and monitor how the agreed change is working in practice. HR / Payroll / Manager Within 1 month of change; review after 1–3 months
Premium content

To continue reading, purchase this item or a parent toolkit, library or our full library.

Common mistakes

Understand the common mistakes to avoid when using this HR template, helping you reduce risk, prevent unnecessary costs and ensure the process is handled correctly.

  • Recording only the final arrangement without making clear that the original proposal was adjusted
  • Failing to clearly distinguish the original proposal from the final agreed terms
  • Treating an employee's failure to object as agreement to a revised proposal
  • Leaving the effective date or duration of the variation unclear
  • Failing to update HR, payroll and written employment records after agreement
  • Using the variation agreement to retrospectively suggest that an arrangement was agreed when it was not
Premium content

To continue reading, purchase this item or a parent toolkit, library or our full library.

HR considerations

UK employment law and best practice

This template is designed to support the process, but the document should be used alongside the relevant HR procedure and applied to the circumstances of the individual case.

Agreement to contractual changes

An employment contract is legally binding and, as a general principle, changes to agreed terms must be agreed by both employer and employee unless an existing contractual provision permits the particular change. Where an original proposal is adjusted following discussion, the final arrangement should be clearly agreed before it is treated as the new contractual position. https://www.acas.org.uk/changing-an-employment-contract/employer-responsibilities https://www.acas.org.uk/changes-to-employment-contracts

Consulting about proposed changes

When proposing contractual changes, employers should provide affected employees and relevant representatives with information about what is proposed, who may be affected, why the change is needed and the proposed timeframe. Employers should also consider alternative options and listen to concerns and suggestions during consultation. https://www.acas.org.uk/changing-an-employment-contract/employer-responsibilities/proposing-employment-contract-changes

Adjusting an original proposal

Acas recognises that constructive discussions about contract changes can lead to alternative solutions. Employers should be prepared to consider changes to an original proposal and explore options that may allow the underlying business objective to be achieved while addressing employee concerns. https://www.acas.org.uk/changing-an-employment-contract/employer-responsibilities/if-employment-contract-changes-cannot-be-agreed

Putting the agreed variation in writing

Where changes to an employee's main terms of employment are agreed, the employer must put the change in writing within one month. It is good practice to document the final agreed position as soon as possible so that there is no uncertainty about what has been agreed, when it takes effect or whether it is temporary or permanent. https://www.acas.org.uk/changing-an-employment-contract/employer-responsibilities/if-employment-contract-changes-are-agreed https://www.gov.uk/employment-contracts-and-conditions/written-statement-of-employment-particulars

Fairness and discrimination

Contract variations should be considered and implemented fairly. Employers should consider whether a proposed or adjusted change could disadvantage an employee because of a protected characteristic and whether reasonable adjustments or alternative arrangements are required. Acas also advises employers to consider the risk of discrimination when proposing changes to contractual working arrangements. https://www.acas.org.uk/discrimination-and-the-law https://www.acas.org.uk/changing-an-employment-contract/employer-responsibilities/treating-all-workers-fairly

TUPE and dismissal and re-engagement

Additional legal considerations apply to contractual variations connected with a TUPE transfer. If an employer cannot obtain agreement and is considering imposing a change or dismissing and re-engaging an employee, the risks and applicable legal requirements are significantly different from an agreed variation. The Acas Code of Practice on dismissal and re-engagement should be considered where relevant and specialist advice may be appropriate. https://www.acas.org.uk/changing-an-employment-contract/employer-responsibilities/if-employment-contract-changes-cannot-be-agreed https://www.gov.uk/government/publications/dismissal-and-re-engagement-code-of-practice

You may also need these resources

FAQs

Why would a contract variation agreement refer to the original proposal?

Where the final agreement differs from the original proposal, recording the original proposal can provide a useful audit trail showing how the parties arrived at the final arrangement. The important point is that the final contractual terms should be stated clearly and should take precedence over the earlier proposal.

Does an employee have to agree to the adjusted proposal?

Yes, where the change requires agreement. The fact that an employee has discussed or suggested an alternative does not itself mean that the final variation has been accepted. The employer and employee should be clear about the final terms that have been agreed.

Can the adjustment be different from what the employee originally suggested?

Yes. Contract variations can be negotiated, and the final arrangement may be different from both the employer's original proposal and the employee's initial alternative. The agreement should simply record the final terms that both parties have accepted.

Does the original proposal remain part of the employee's contract?

No, not simply because it was proposed. A proposal is not the same as an agreed contractual term. Where the parties subsequently agree an adjusted arrangement, the final agreed terms should be clearly identified as the terms that will apply.

Should the employee sign the variation agreement?

Employees do not necessarily have to sign a new contract for agreed changes to take effect. However, obtaining written acknowledgement is good practice because it creates clear evidence of what was agreed. The employee should have the opportunity to check the document and raise any questions or concerns.

Why use HRDocBox rather than AI?

HRDocBox templates provide a practical framework based on UK employment law, Acas guidance and established HR practice. AI can help adapt wording, but a ready-made HRDocBox agreement provides a structured way to document the original proposal, agreed adjustment and final contractual position.

How this content is developed and reviewed

The Contract variation agreement (with adjustment to original proposal) letter template is developed using a practical HR methodology that considers current UK employment legislation, ACAS guidance, CIPD good practice and the real-world HR process it supports. Templates and supporting information are regularly reviewed and updated, with additional reviews triggered by significant changes to legislation, guidance or established HR practice, helping ensure each document remains practical, relevant and suitable for UK employers.

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 HR processes and founded hrdocbox to provide businesses with practical, professionally developed HR resources grounded in UK employment law and best practice.

HRDocBox has been creating practical UK HR documents since 2009.

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
Get started today

HR confidence starts here

Whether you employ 5 people or 50, hrdocbox gives you the structure, documents and expertise needed to manage employees professionally and legally.

Download your FREE UK employment contract template

Professionally written and fully compliant with UK employment law

Download FREE contract
Free UK employment contract template