reducing hours....some advice please

[trumpet600]

I have a team of 4 people, working alongside it's sister company who have just had to restructure, with 25% of their staff being lost and the remainder on a 20% reduction in hours.

We are a very seperate company to them and so far haven't had to make any cutbacks.....however, the time is dawning on us.

The other company followed all correct procedures ie, consultation with all the staff over the correct period, as is set out by their volume of staff (30).

If things don't improve, I could be looking at having to make cuts and think I can get away with a 20% reduction in hours/salary rather than letting anyone go. I have discussed my fears with my team, however, haven't given them any formal notice as yet.

Do I have to go through consultation if they are in agreement with the reduction? Also will I have to change their current contracts as it clearly states the working hours?

Thanks in advance

[Scraggles]

company is doing this, you need to get their approval to a temporary change of T&C

being in consultancy they have noticed that most people do over 37.5 hours contract time and are worried if the pay is dropped that people might work to rule as it were and yet they claim to be good managers, yet do not know the obvious