Our Company has recently lost a large percentage of its business/income.

A number of roles have been identified as being at risk of redundancy, staff affected have been informed of our intention and our reasons behind the decision and the redundancy process is being followed.

As a further step towards maintaining the viability of the group we are asking senior staff not identified as being at risk of redundancy to accept a 10% salary reduction. Our aim is to resolve the situation and return salaries to their current levels but this can’t be guaranteed. Should a redundancy situation arise at any time thereafter employees final salary will be deemed to be that paid prior to any reduction and final salary payment and holiday pay due paid at this rate. If staff are not in a position to reduce their salary this will not affect their employment with the company in any way, if they can support our request we will confirm by letter of variation to their employment.

Is this acceptable and fair?