A method and system are provided for enabling replacement of a failed processor without requiring redundancy of hardware. The system is a multiprocessing computer system that includes one or more processor chips. Each processor chip may include one or more logical processors. During system initialization, one or more logical processors may be reserved in an inactive state. In the event an error is detected on a logical or physical processor, one or more reserved logical processors may have execution context transferred from the processor experiencing the error. Thereafter, the active processor is designated as inactive and replaced by the inactive processor to which the execution context has been transferred.