Agreement For Reduced Pay Letter

Employers can only change the contractual terms of employment of a worker with the agreement of the worker. This letter on the agreement on reducing wages as an alternative to redundancy aims to reach agreement on a reduction in wages as an alternative to a redundancy programme. For example, it can be used by an employer facing a decline in activity due to the onset of coronavirus (COVID-19). If the employer makes adverse changes without the worker`s consent, there is a risk of infringement, unlawful deductions or an unjustified claim to dismissal. After completing the form, the employer must sign the letter and deliver it to the employee either manually or by e-mail. The employer must also keep a copy of the letter for registration purposes. A salary reduction agreement is a signed agreement in which an employee accepts a salary reduction. 6. [FLEXIBLE WORK: Employees who feel able to take on shorter hours, perhaps with different start/end schedules that correspond to their external obligations, should inform the manager as soon as possible. Revised work models may be temporary or, in some cases, continuous during the period of onset.] NOTE: Terms of variation, including an indication, are required to return to the normal work model 4.

[WORK OF COURTE PERIOD: Employees` employment contracts provide that we can reduce the weekly working hours and reduce wages accordingly under certain circumstances. We propose that the company from [DATE] to at least [DATE] reduce its standard full-time work week to [4 days].] In the case of part-time workers, we are asking for a similar 20% reduction. We ask all employees to speak to [MANAGER] by [DATE] to determine their abbreviated work model and discuss individual implications.] NOTE: A temporary change in conditions is required for each employee (myHRdept may provide it). I agree with a [temporary/permanent] reduction in my salary from [inserting the amount] per [anjahr/month/hour] to a new rate of [insert] by [anjahr/month/hour] as proposed in the letter above. A pay cut is not the same as a wage deduction. A pay cut is when a worker`s salary is reduced by an agreed amount before existing public and federal taxes are deducted. A reduction can occur when a company introduces cost-cutting measures, when an employee reduces his or her work time, or when an employee changes roles. 2. [UNPAID HOLIDAY/SABBATICAL: If employees wish to take longer unpaid leave, apply to your supervisor. In some cases, we may take time off for up to [3 months].] NOTE: A Sabbath agreement is required.

This briefing model is written in the context of a company that is facing revenue losses and unused capacity and does not wish to lay off workers. The document assumes that the employment contract includes redundancy clauses that allow the company to reduce hours and wages. NB1 Layoff of more than 4 weeks without interruption or 6 weeks discontinued over a period of 13 weeks allows workers to declare their dismissal.