You either use the transaction "Rehire Inactive Employee", select the respective employee to rehire and fill out the details to perform the rehire or you use the transaction "Add New Employee", fill out relevant details on the first page of the new hire wizard and press next, which should result in a pop-up suggesting a match exists and accept the match to then accept the match and further process details. Please note for both the according permissions need to be granted, else it won't work.
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