Demotion Letter Template for Denmark

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Demotion Letter

Document background

The Demotion Letter is a crucial document used in Danish employment contexts when an organization needs to formally communicate a reduction in an employee's position, responsibilities, or compensation. It serves as an official record of the change in employment terms and must comply with Danish employment law, including the Salaried Employees Act (Funktionærloven) and the Act on Employment Contracts (Ansættelsesbevisloven). The document is typically used in situations involving organizational restructuring, performance issues, or when an employee voluntarily accepts a lower position. The Demotion Letter must include specific details about the new role, effective date, compensation changes, and reasons for the demotion while ensuring transparency and legal compliance within the Danish jurisdiction.

Suggested Sections

1. Employee Information: Full name, current position, and employee ID of the affected employee

2. Effective Date: Clear statement of when the demotion takes effect

3. Reason for Demotion: Brief but clear explanation of the business reasons or circumstances leading to the demotion

4. New Position Details: Title and description of the new position, including main responsibilities

5. Compensation Changes: Details of any changes to salary, benefits, or other compensation elements

6. Confirmation Request: Request for the employee to acknowledge receipt and acceptance of the changes

7. Next Steps: Information about the transition process and any immediate actions required

Optional Sections

1. Performance Issues: Include if the demotion is performance-related, detailing specific concerns and previous discussions

2. Training Requirements: Include if the new position requires additional training or development

3. Probationary Period: Include if a probationary period applies to the new position

4. Impact on Benefits: Include if there are changes to benefits beyond basic compensation

5. Union Considerations: Include if the employee is covered by a collective agreement

6. Appeal Process: Include if the organization has a formal process for appealing the decision

Suggested Schedules

1. New Position Description: Detailed job description for the new role

2. Revised Employment Terms: Complete updated terms and conditions of employment

3. Organizational Chart: Updated reporting structure showing the employee's new position

4. Compensation Details: Detailed breakdown of new compensation package including benefits

Authors

Relevant legal definitions

Company
Current Position
New Position
Effective Date
Basic Salary
Collective Agreement
Notice Period
Working Hours
Reporting Line
Benefits Package
Performance Standards
Probationary Period
Employment Terms
Work Location
Duties and Responsibilities

Clauses

Position Change
Effective Date
Compensation
Duties and Responsibilities
Reporting Structure
Working Hours
Work Location
Benefits
Notice Period
Confidentiality
Intellectual Property
Data Protection
Code of Conduct
Non-Competition
Performance Requirements
Acknowledgment and Acceptance
Governing Law

Relevant Industries

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Relevant Roles

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