Change an employee's terms of employment

Consult employees

Some contracts may contain terms which allow employers to make changes in working conditions. These should be reasonable - for example, performing additional tasks to reflect seasonal fluctuations in demand. Do not rely on such terms to make more fundamental changes because your employee may then claim the contract has been terminated and may make various legal claims against you.

If you want to change terms or conditions in a collective agreement with a trade union that you formally recognise, you should always agree the changes with the trade union.

Consultation should be detailed and undertaken with a view to reaching agreement and you should fully explain the reasons for any changes.

The Information and Consultation of Employees (ICE) Regulations give employees in larger organisations new rights to be informed and consulted about significant developments in the workplace. This will be phased in gradually, but employers with at least 150 employees will come within the scope of the new rules from 6 April 2005.

Read more information on the ICE Regulations on the DTI website.

Individual consultation can take place on a one-to-one basis or in the form of group briefings. Whichever method you choose, you should provide an opportunity for employees to ask questions. Be prepared to answer these questions and ensure employees have the relevant information they need to prepare for the meeting. Always consider an individual's particular circumstances.

Subjects covered in this guide

• Introduction
• Check what the existing contract covers
• Consult employees
• What if we can't agree?
• Checklist: changing an employee's terms of employment

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