An employment termination letter will always be shocking, otherwise expected. Most, if not all, employees do not want to be put in the position where they will be terminated by their employers especially if they are unaware of the measures in which the decision has been based and made. Businesses should already expect the frustration that employees can showcase if the termination will be announced.
However, emotional responses can be lessened if a proper termination letter will first be given to the employee before proceeding to the implementation of the termination procedures. Make sure that you will follow a formal letter format when creating the employee termination letter that will be used by your business. Browse through the downloadable examples of termination letter templates in this post so you can have references in developing the layout and format of your company’s own employee termination letter.
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Why is a Termination Letter Necessary in the Processes of Employee Termination?
Employment termination is the process that is most likely to fall on the last part of an employer’s priorities. No matter what the reason of the termination is, it is hard to execute the decision both on the side of the employee and the employer. However, there are instances where the act of termination is what can provide the betterment of the business operations and the relationship of the company to its other stakeholders. Here are some of the reasons why a termination letter should always be present within the processes of terminating an employee:
- Creating an employee termination letter can protect the business from legal cases. It is important for companies to take note that the rights of the employees must still be considered even if they are already subjected for termination. This includes the confidentiality of the process so to not affect the moral of the employee. You may also see application letter examples & samples.
- Making an employee termination letter can help the management relay the specifics of the termination. This includes the date of the termination, the reason why the employee will be terminated and all the other details that the employee should be knowledgeable about in relation to the decision to terminate him or her.
- Writing an employee termination letter can precisely document the expected processes of the termination. This way, there will be a complete understanding when it comes to the responsibilities and tasks of both the business and the employee during the termination’s implementation. You may also like thank-you letter examples.
- Developing an employee termination letter can present a practical, fair and valid reason why the process of termination should push through. With this, it will be easier for the employee to accept the decision of the business especially if clarity of the termination processes and its purpose are observed in the letter. Just as how an appointment letter format affects the flow of discussion within an employee appointment letter, ensuring that the structure of the employee termination letter is well-planned can also help make the content of the document more understandable.
- Coming up with a comprehensive employee termination letter can already set the expectations of the employee. It will be hard for employees to accept the termination which is why employers have the responsibility to allow the employees to be ready and be prepared for it even within a short period of notice time. You may also check out email cover letter examples.
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Things to Do Before Writing the Employee Termination Letter
Aside from business proposal cover letters and other corporate documents that are used in the improvement and development of the business, employers also need to focus on the creation of forms, letters and materials that can help address issues within the workplace. As an employer, you have to consider the impact of an employee termination to the business and its operations. With this, you have to be ready and prepared when developing an employee termination letter so you can ensure the protection of the rights of the business especially when legal cases arise after the termination.
Even if it is difficult to terminate an employee, you still have to do especially if the employment relationship is already affecting the company negatively. Here are some of the things that you need to do before writing the actual employee termination letter:
- Be specific with the purpose or reason of the termination. Keep in mind that terminations do not only occur due to the shortcomings of an employee. It can also be the result of a company’s cost cutting or downsizing measures. If you specify the reason why the employee needs to be terminated, then he or she can properly be aware of the scenario. You may also see business proposal letter examples.
- Properly identify the professional relationship of the employee with the business. You have to know the specific employment relationship that will be terminated so that you can ensure that the processes of termination will be legal.
- Create a checklist that can help you lay all the details that you would like to include in the employee termination letter. Having a checklist can help you be more organized and guided within the processes of the letter creation and development.
- Ensure that you will first make a draft the termination letter. This can make it easier for you to structure the flow of the letter discussion. By using a draft, you can also make sure that you will not forget any information that is essential to be known by the management and the employee to be terminated. You may also like reference letter examples.
- It is very important for you to review the employment contract of the employee that you will terminate. A lot of employment contract contains clauses for termination which should always be evaluated whenever the actual termination will already take place. This can ensure the business that no rights of the employee will be overlooked. You may also check out offer letter examples.
- Collect all the proofs and evidences that you have used to come up with the decision to terminate an employee. It is essential for these evidences to be presented to the employee so that he or she can be aware that there is no discrimination or subjectivity involved in the termination decision. As an example, you can use attendance record sheets, evaluation forms and copies of written warnings as your evidences if the employee will be terminated due to poor attendance, tardiness or absenteeism.
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How to Create an Employee Termination Letter
All the details that you will include in the employee termination letter must be accurate and backed-up with evidences. Even if it is easy to develop an employee termination letter with the help of examples and templates, you still need to make sure that you will create a document that is precise, direct to the point, and relevant to the current termination process at hand. Here is a step-by-step guide that you can follow if you want to start the creation of your company’s own employee termination letter:
- Refer to examples and templates that you can use as guides when developing the content of the employee termination letter or when finalizing the letter format that you will use. It will be best to use references that are relevant and similar to the exact employee termination letter that you would like to come up with. You may also see notice letter examples.
- Treat the employee termination letter as a business document. Start the draft the content of the termination letter by using the letterhead of the company. This can help the brand and image of the business to be seen in the employee termination letter.
- Include relevant information which includes the date when the letter has been written, the name of the employee, the employee’s work position and designation, and the simple statement of confidentiality that should be honored by the employee and the business.
- Your first paragraph is suggested to include the main point of the discussion. Properly explain the termination of the employment and the changes that will be implemented with the relationship of the business and the employee to be terminated.
- List down all the reasons of the termination on the second paragraph. Again, it is essential for these reasons to be real and valid. You can include attachments when handing the letter to the employee so that he or she can have a copy of the proofs that made the business decide to terminate him or her. You may also check out formal letter writing examples in pdf.
- Be specific when discussing the terms and conditions of the termination. More so, you have to be detailed when further describing the unsatisfactory performance or other reasons of the employee’s termination. Aside from this, the final responsibilities of the business must also be specified. This includes the amount of the last paycheck that the employee will receive from the company.
- If applicable, request the employee to return all the properties of the business that has been given to him or her as long as the employment is valid. You can also list down other responsibilities that the employee still has to execute before and after the termination. You might be interested in how to write a job resignation letter.
- The privacy of the termination procedure does not only depend on the employer. The employee termination letter should also contain a reminder for the employee to maintain the privacy and non-disclosure of all the information presented in the document.
- In cases where the termination of the employee is due to unforeseen circumstances that the business needs to face or any particular reasons that does not involve the performance and deliverable of an employee to be terminated, ensure that you will apologize for the termination. You can also ensure that the business is more than willing to provide recommendations or reference letters for the future professional endeavors of the employee.
- Do not forget to include a space where the signatures of the business representative and the employee can be affixed. The completion of all the signatures can ensure that all parties involved have agreed upon the content of the employee termination letter.
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Tips in Making an Employee Termination Letter
Having a readily made employee termination letter can make it easier for the business to organize the processes of termination when it is already called for. A few of the tips that you can incorporate in the creation and development of your business’ employee termination letter include the following:
- Always seek for professional and legal advice when making and using an employee termination letter. You have to ensure that all the items presented in the document will not affect the credibility of the business. You may also see complaint letter examples & samples.
- Use references like the downloadable examples that we have listed here. It will be easier for you to create this document if you have letter templates and examples to refer to.
- Review the content and evaluate the format of the document before using it. Proofreading an employee termination letter can help you change necessary items to further improve the document. You may also like two weeks notice letter examples & samples.
- Update employee termination letter templates from time to time. Since there are different reasons that can cause termination and there are also a variety of ways on how employees set regulations about this matter, you have to make sure that the specific employee termination letter that you are using is appropriate for the current transaction of termination that you are dealing with. You may also check out appointment letter examples & samples.
If this is your first time to create an employee termination letter, using our downloadable examples and templates can help you a lot. Make sure to be keen when observing the content of the references that you will use so you can change items and information that can make your final document fit and supply the needs and regulations of your business in relation to employee termination. You might be interested in resignation letter examples.