Re-designation letter is written by the employer or by the concerned department to the employee in order to re-designate, re-promote, or change his/her job role on the basis of his/her performance.
Re-designation does not always mean increments. Rather it can also mean demoting an employee if he/she is underperforming.
In such cases, a re-designation letter is given to the employees in order to inform them about the same. The purpose of this letter is to re-designate the employee. This type of letter, should be printed on the company’s letterhead and contain all the pertinent information, such as the change in the employee’s designation, position, or job role, his/her new duties, and responsibilities, as well as the changes in his/her salary or remuneration with the grade and level changes, is written to encourage employees to perform better.
Re-designation means changing the job role or the designation of an employee working in your organization. Re-designation can be both positive and negative based on the employee’s performance.
People often confuse Re-designation with promotion. However, both have a lot of differences.
Redesignation means just changing the job title, be it to a higher grade or to a lower grade while promotion means getting a better job role with a higher salary than the current position.
In re-designation rules, usually, the company wants to give you a higher role with the same or a less salary, or they might be looking to demote or fire you. Always be ready to accept the upgrades in re-designation, but always ask what the upgrade consists of, i.e., more salary, more work, etc. Re-designation letters and promotion letters differ in content. Click here to know more about promotion and promotion letters.
However, in promotion, you are given a higher role, higher responsibilities, with a higher salary. So, when your company changes your job role, always look at whether it is re-designation or promotion.
In all the above cases, a re-designation letter is issued to the employees informing them about the same. Also, it acts as proof when needed.
Re-designation means changing the job title of an employee with or without salary increments. For example, changing the job role from Manager to Senior Manager with the same salary and same benefits. Re-designation letters come into action in such cases.
If you are planning to re-designate an employee, get access to a free Re-designation letter template at UBS HR Toolkit. Also, we can help you reduce your HR Document workload by providing you with more than 500 ready-made documents including HR letters, HR forms, Emails, Job descriptions, and more. Book a demo with UBS HRMS Software to know more.