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Termination letters officially indicate in writing the fact that an employee has been terminated from his or her employment in a company. Facts regarding the termination shall be included in this letter, including the date of the termination, reasons for doing so, the benefits that the employee is entitled to, and any other ongoing obligations parties are still subjected to.

A termination letter is a critical document that will be scrutinized by an employee, especially one who feels that they have been terminated unjustly. In case of legal action, each word will be analyzed by lawyers, and jurors may even go as far into reviewing it during deliberations to decide whether or not the reasons for the termination is deemed just.

That being said, it is important to set the right tone and conduct in writing a termination letter, if only to avoid problems for the company.

Termination letters should directly and factually state the reasons for an employee’s termination while conveying with finality the decision of the employer to terminate an employee. The statements may vary depending on the situation. However, a detailed summary of the employee’s conduct of performance should be stated clearly to support the decision. When applicable, the letter should also refer to specific company policies that have been violated by the employee, as well as disciplinary actions that have been taken, in order to support further the decision made.

The letter of termination should also address administrative details once the reasons for discharge have been explained clearly. Details include collection of final paycheck, continuation and limitation of insurance benefits, company property listings to be returned, notifications and arrangements with the company regarding personal belongings, and other obligations and confidentiality agreements that remain in place following the end of employment.

The bottom line of the matter is that termination letters are important in making the final steps, and in communicating to a well-reasoned and defensible decision to terminate an employee. If properly written, your company has nothing to fear and much to gain from explaining the reasons of your decision to terminate someone from the roster. Thus, it is highly encouraged to write termination letters with the help of legal counsel to safeguard the company and help promote or defend its decisions no matter the audience.

To get you started on what a proper termination letter should read like, this website has made available at your convenience numerous examples of termination letters that you can pattern after, for your own use. Simply look for the template that best serves your company’s interest and edit as necessary in order to create a well-crafted termination letter that you don’t have to worry about showing in the court of law.