Renewal of contract, re-engagement and trial periods
Renewal of contract, re-engagement and trial periods

The following Employment guidance note provides comprehensive and up to date legal information covering:

  • Renewal of contract, re-engagement and trial periods
  • Renewal or re-engagement
  • Trial period
  • Effect of renewal or re-engagement

The effect of a redundancy may be eliminated if an employee is re-engaged within four weeks. The employee is considered not to be dismissed and not eligible for a redundancy payment if, after being made redundant, their employer finds them suitable alternative employment (unless they reasonably refuse it). The way in which this principle operates depends on the circumstances.

Renewal or re-engagement

Where an employee is offered their old job back or offered another job (with the same employer or an associated employer) and they restart employment within four weeks of the previous one ending, they are considered not to have been dismissed and are not entitled to a redundancy payment (see Practice Note: Entitlement to statutory redundancy payment).

A distinction is made between:

  1. if the original contract is renewed

  2. if an employee is re-engaged under a new contract

  3. if the terms and conditions of the contract in the new employment are different (this can be the case whether the old contract is renewed or a new one is created)

See Precedent: Letter—offer to renew contract of or re-engage redundant employee.

Dismissal is deemed never to have happened (and there is no right to a redundancy payment) if:

  1. either:

    1. the employee's contract of employment is renewed, or

    2. the employee is re-engaged under a new contract of employment (with the old employer or an