Varying Staff Terms and Conditions in September: What Club Leaders Need to Know

For many Out of School Clubs, September brings change. A new school year often means a change in demand for places, as parents adjust their working patterns, children take up after-school activities, or school wraparound care becomes available.

As a result, Club leaders sometimes find they need to make changes to their staff’s hours, duties, or contracts.

But changing terms and conditions is not straightforward. There are legal rules you must follow, and if it is done the wrong way, it could lead to grievances or even tribunal claims. Here is what you need to know.

Reasons contracts might need to change

Typical reasons in our sector include:

• Changing demand: needing fewer or more hours covered than last year.
• Clubs closing as they are no longer financially viable.
• New duties: such as doing extra school runs, or running different activities.
• Financial pressures: fluctuating parent fees may mean costs need to be managed.

Whatever the reason, you must have a genuine business reason for making the change, and be able to explain this clearly to your team.

If you are overstaffed and expect to be so for a while, varying the terms and conditions may not be the answer. Equally if you feel this is likely to last only a matter of weeks, then there are other options such as lay off and short term working that may be better options for the Club.

How to vary terms safely

1. Check the contract
   Some contracts contain “flexibility clauses” allowing limited changes to hours or duties. Even so, you must act reasonably and consult before relying on them. Furthermore, some contracts will have “mobility clauses” enabling the employer to vary where the employee works where reasonable.
2. Consult with staff
   Talk to affected employees early. Explain why the change is needed, listen to concerns, and explore alternatives. Consultation should be meaningful, not just a tick-box exercise. People love to be involved, and other a “we were thinking, how does this sound..” conversation can be all that is needed.
3. Seek agreement
   Ideally, staff should agree in writing to any change. This reduces the risk of later disputes. For some staff they are happy to agree to the variation and it suits their family situation.
4. Follow the Code of Practice
   A new statutory Code of Practice on dismissal and re-engagement came into effect on 18 July 2024. It requires employers to:
   • Share as much information as possible about proposed changes.
   • Communicate in writing.
   • Consult for as long as reasonably possible.
   • Treat dismissal and re-engagement as a last resort, not a bargaining tactic.

Employment tribunals can increase or reduce compensation by up to 25% if the Code is not followed.

Risks to watch out for!

• Unilateral changes
  Simply telling someone their hours are being cut is very risky. Staff could resign and claim constructive dismissal if they have more than 2 years service, or work “under protest” and bring a breach of contract claim.
• Discrimination
  Changes to hours could disproportionately affect staff with childcare responsibilities, often women. This may amount to indirect sex discrimination unless you can objectively justify the change.
• TUPE
  If your Club has taken over staff from another provider, their terms and conditions may be protected under TUPE rules. Special care is needed in these scenarios.
• Be mindful of collective consultation if 20 or more employees are to be asked to vary their contracts.

Practical steps

✔ Plan ahead.
✔ Be open and transparent. Explain the genuine business reason.
✔ Consult properly. Two-way discussions are key.
✔ Get written agreement. Even for minor changes.
✔ Keep dismissal or re-engagement as a last resort. Only after advice.

Final thoughts

Varying contracts can feel daunting, especially when demand shifts quickly at the start of the school year. With planning, open communication, and careful following of the law, you can make the changes your Club needs while maintaining staff trust and avoiding legal risk.

If you are unsure, it is always best to seek HR advice before making changes.

If you need any assistance with HR policies and procedures for your Out of School Club, call us on 01527 909436 or visit our website at www.redwing-solutions.co.uk