Letter notifying of employer change of name

If you’re planning to change the name of your business but there’s to be no change in its identity, you’ll need to issue a written statement of the name change to your employees at the earliest opportunity and within one month of it taking effect. Use our letter to do this.

A new business name

If you’re a sole trader, you might change your surname because of, say, marriage or divorce or you might choose to change your full name by deed poll. If you’re keeping your full name but simply changing your “trading as” identity, for example “Jane Smith trading as Clever Cuts” is changing to “Jane Smith trading as A Cut Above”, then there’s no employment law implications there because Jane Smith still remains the actual employer. If your business operates as a limited company or a partnership, you might want a new name to keep up with the times or to more accurately reflect the evolving nature of your business activities. In the case of a limited company, you’ll need to comply with company law requirements, involving the new name being approved by resolution and then filed with Companies House. Regardless of whether you’re in business as a sole trader, limited company or partnership, if the name of the employer changes, then employees need to be properly informed, but you don’t need their consent here as you do with other substantive contract variations.

Statutory provisions

The Employment Rights Act 1996 contains specific provisions dealing with where the name of the employer is changing but without any change in its identity, whether this be an individual, company or partnership. The legislation states that, on a change of name, you’re not required to give to the employee a new full written statement of employment particulars (or employment contract), as long as there are no other changes to their terms and conditions of employment. However, you are required to give them a written statement containing details of the change. You need to issue this to them at the earliest opportunity and, in any event, no later than one month after the date of the change. This is where our Letter Notifying of Employer Change of Name comes in. It’s intended as a short side letter to the employment contract and it simply sets out details of the business name change and the date it takes effect. Our letter also makes clear that the employer’s identity isn’t changing and that there are no other changes being made to the employee’s terms and conditions of employment.