How to go about a change in remuneration structure

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  • dellatjie
    Silver Member

    • Sep 2012
    • 335

    #1

    [Question] How to go about a change in remuneration structure

    Morning,

    We have discussed a change in one of our employees remuneration package, and he is happy with that. Do I give him a new contract, or do I set up an agreement only on the change in writing?
  • sterne.law@gmail.com
    Platinum Member

    • Oct 2009
    • 1332

    #2
    Your original contract may determine what you need to do. There may very well be a claus etaht any changes must be reduced to writing.
    Either which way it is best for the changes to be in writing.
    It is not a new contract of employment merely a change in terms and conditions.
    An addendum setting out the old and the new should do the trick
    Anthony Sterne

    www.acumenholdings.co.za
    DISCLAIMER The above is merely a comment in discussion form and an open public arena. It does not constitute a legal opinion or professional advice in any manner or form.

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    • DeonT
      Junior Member
      • Oct 2012
      • 22

      #3
      Most contracts - any definitely those drafted by attorneys - have clauses that require changes to be reduced to writing. As Anthony said above, an addendum should be fine.

      Just wondering whether your employee agreed to the changes because it INCREASED his remuneration package? :-)
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      Comment

      • dellatjie
        Silver Member

        • Sep 2012
        • 335

        #4
        @DeonT,

        Yes, he is better off after the change takes place.

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