Cover Letter — 3 Variants

In short

Three versions of the covering letter that goes with each contract when it's issued — one for permanent staff, one for casual staff, one for David. Each explains in plain English what's changing, what isn't, and how to raise concerns.

Purpose: accompany the new contract pack when issued. Explains the refresh, makes consent explicit, gives staff a path to raise concerns instead of resigning.

Use the variant matching the staff member's contract template (A / B / C).

Variant 1 — Employment contract (Template A) — for FT and PT permanent staff

[Date]

Dear {{first_name}},

Wild Hearth Bakery is refreshing its employment paperwork for everyone
in the team. The aim is simple: a single, clear set of contracts that
match how we actually work today, that align with current UK employment
law, and that — wherever it matters — improve on the terms in your
existing contract.

Enclosed you'll find:

  • Your new Employment Contract
  {% if addendum_drivers %}• Addendum 1 — Drivers{% endif %}
  {% if addendum_bakers %}• Addendum 2 — Bakers (Senior/Head){% endif %}
  {% if directors_letter %}• Director's Service Letter{% endif %}

What is NOT changing
  • Your pay rate (on the day of issue)
  • Your start date and continuous service
  • Your role and reporting line
  • Your team

What is IMPROVING for you
  {% if pay_basis == 'Hourly' %}• Your hourly rate is now formally pinned to the Real Living Wage
    (Scotland), with the annual RLWS uplift applied automatically.
  • You can elect Time Off In Lieu instead of overtime pay on a
    shift-by-shift basis (previously this was discretionary).
  • Sundays and bank holidays are now paid at 1.5×.{% endif %}
  {% if addendum_drivers %}• A 3-hour minimum payment for any ad-hoc / short-notice call-out
    (so a 1-hour emergency run is paid as 3 hours).{% endif %}
  • Up to 40 hours of unused holiday can now be carried into next
    year with consent (previously this was lost).
  • Notice from the Company is longer for senior roles (2 months
    versus 1) — more security if the Company ever ends the
    arrangement.
  {% if notice_tier == 'Senior' %}• Your role-level notice is 2 months from the Company to you,
    but only 1 month from you to the Company — faster freedom to
    move on, longer handover if we initiate.{% endif %}
  • Training repayment cannot be sprung on you — any repayment
    obligation must be agreed in writing BEFORE the training starts.

What is being clarified or standardised
  • Probation period for new joiners (3 months, extendable up to 3
    more if needed; before, this was unwritten in many cases)
  • Holiday year (1 April – 31 March, as today)
  • Sickness, food-safety, and confidentiality terms

What we need you to do

  1. Read the contract and any addendums carefully.
  2. If you're happy, sign and return one copy by {{deadline}}.
  3. If you have questions, raise them with Lily, Tim or Lorna — we'd
     far rather talk it through than have you sign something you're
     unsure about.

If anything in the new contract would represent a meaningful change to
your existing terms (more than the improvements above), we'll discuss
that with you individually before asking you to sign. Your existing
terms remain in force until you sign the new contract.

Thanks for everything you do.

Best regards,

{{letter_signer}}
Director
Wild Hearth Bakery Limited

Signer convention: John signs all letters except his own. For John's letter, Tim Brown signs (as Assistant Operations Manager on behalf of the Board).

Variant 2 — Casual / zero-hours (Template B) — for Evening Packers, Weekend Cleaners

[Date]

Dear {{first_name}},

Wild Hearth Bakery is tidying up its paperwork for casual staff. The
enclosed Casual Worker Agreement replaces any earlier paperwork you may
have signed with us. The way we offer and confirm shifts isn't changing
— this is purely about putting clear terms in writing, with a couple
of genuine improvements.

Enclosed you'll find:

  • Your new Casual Worker Agreement
  {% if addendum_young %}• Addendum 3 — Young Workers (until you turn 18){% endif %}

What is NOT changing
  • Your hourly rate
  • The way shifts are offered (no obligation either way)
  • Your right to decline a shift without reason or consequence

What is IMPROVING for you
  • Sundays and bank holidays are now paid at 1.5×.
  • If we ask you to come in at short notice, you're paid for a
    minimum of 3 hours, even if the actual work is shorter.

What is being clarified
  • Your status as a casual worker (not an employee)
  • Holiday pay accrual at 12.07% of hours worked, shown on each payslip
  • Pension auto-enrolment if you qualify
  • Food-safety and confidentiality obligations on shift

What we need you to do

  1. Read the agreement carefully.
  2. If you're happy, sign and return one copy by {{deadline}}.
  3. {% if addendum_young %}Your parent or guardian also needs to co-sign — there's a
     space for them on the addendum.{% else %}If you have questions, raise them with Elspeth or Sean.{% endif %}

Best regards,

John Castley
Director
Wild Hearth Bakery Limited

Variant 3 — Consultancy (Template C) — for David Johnson only

[Date]

Dear David,

Since you started working with us, we'd like to put a formal Consultancy
Services Agreement in place. The intention is purely to document what we
already do, in line with HMRC expectations for engagements outside IR35.

Enclosed:

  • Consultancy Services Agreement (draft)
  • HMRC CEST assessment outcome (Schedule 2)

What is NOT changing
  • The nature of the work you do for us
  • Your monthly fee
  • Your independence — you remain self-employed and free to work
    with other clients

What this document does
  • Records the services scope, fees, and notice arrangements
  • Confirms our shared understanding that this is a B2B engagement,
    not employment
  • Documents the IR35 status assessment we've completed together

Please review the agreement and the CEST outcome with your accountant
if helpful, then sign and return by {{deadline}}. Any concerns, please
give me a call.

Best regards,

John Castley
Director
Wild Hearth Bakery Limited

Justification for this approach

Choice	Why
Lead with "what is not changing"	Reduces immediate anxiety. Staff typically worry about pay, hours, role first — addressing this up front prevents misinterpretation.
Use plain language, not legal language	Cover letter is for context. The contract itself is the legal document.
Explicit "we'd rather talk than have you sign unsure"	Documents that we invited dialogue — strengthens our position if anyone later claims they were pressured to sign.
"Existing terms remain in force until you sign"	Critical sentence for existing staff. Removes the implied threat that not signing has consequences.
Different variants per template	Casual workers shouldn't get a letter that talks about "employment" — risks blurring the worker/employee distinction. Consultant shouldn't get either — would imply employment.
Signed by a Director	Authority + accountability. Generic "HR" signatures feel less personal in a small bakery.
`{{deadline}}` variable	Recommend 4 weeks from issue — long enough for staff to take advice if they want, short enough that things don't drift.

Recommended issue timeline

Use the same rollout waves as the README:

Wave 1 (week 1): Director + 8 senior staff = 9 total
Wave 2 (weeks 3–4): Standard permanent staff
Wave 3 (week 5): Casuals
Wave 4 (after IR35 CEST): David Johnson

Source: docs/contracts/cover-letter.md