The Dismissal And Re-Engagement Letter is a crucial document used when an employer needs to make substantial changes to employment terms that go beyond what's permitted under existing contracts. Common in Canadian business restructuring, corporate reorganizations, or when significant operational changes necessitate modified employment terms. The document must carefully balance the employer's need for change with employee rights under Canadian law, including proper notice periods and clear communication of new terms. It's essential to comply with both federal and provincial employment standards, as well as common law principles regarding constructive dismissal. The letter typically includes detailed information about both the termination of existing terms and the offer of new employment conditions, with clear timelines for acceptance or rejection.
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1. Addressee Details: Full name and address of the employee
2. Current Position Reference: Statement identifying the employee's current role and start date
3. Notice of Termination: Formal notice of termination of existing employment contract, including the effective date
4. Reason for Change: Brief explanation of the business reasons necessitating the contract changes
5. New Terms Overview: Summary of key changes in the new employment terms
6. Offer of New Position: Details of the re-engagement offer, including new role title and effective date
7. Response Timeline: Clear deadline for accepting or rejecting the new terms
8. Legal Rights Statement: Statement acknowledging the employee's right to seek independent legal advice
9. Acceptance Process: Instructions for indicating acceptance or rejection of the new terms
10. Closing and Signature: Formal closing, company signatory details, and signature blocks
1. Transition Period Details: Used when implementing a phased transition to new terms
2. Benefits Continuation: Include when there are specific arrangements for maintaining or modifying benefits during the transition
3. Severance Details: Required if offering severance in case of non-acceptance
4. Restrictive Covenants: Include when new or modified post-employment restrictions apply
5. Training Requirements: Include when new role requires additional training or certifications
6. Collective Agreement Reference: Required if changes impact or require consultation with union agreements
1. Schedule A - New Terms and Conditions: Detailed outline of all new employment terms and conditions
2. Schedule B - Comparison Table: Side-by-side comparison of current and proposed terms
3. Schedule C - Job Description: Detailed description of the new role and responsibilities
4. Schedule D - Benefits Summary: Comprehensive overview of new benefits package
5. Appendix 1 - Acceptance Form: Form for employee to formally accept or decline the new terms
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