What Is a Termination Letter?

A termination letter is a document that is given to an employee to provide a sufficient summary of the causes of his termination and when the termination will be happening—to put it simply, it is given when you are going to fire someone or notify the person regarding the end of his/her employment contract. It is a formal kind of document you need to prepare in order to avoid facing legal issues. Moreover, it needs to stay confidential.

How to Make a Termination Letter

how to make a termination letter

More than 50% of all companies across the globe are still having difficulty in keeping their employees, even the most valued ones. While it could be a negative notion terminating an employee, it will be for the betterment of both the employee and the company. Good termination letters will help you ease the process. Here are easy key points in making a termination letter.

1. Subtle Language

If you think including puns, anecdotes, and other silly things is a good way to write your firing and termination letter, just to make the situation lighter, you are wrong. There is nothing funny or light about a termination of employment. The only way you can make it smooth and appropriate is to be subtle and direct to the point. An on-point and clear message will help your employee comprehend easily as to the reasons for his/her termination.

2. The Evident Reason

For a more concrete printable letter, and to avoid legal issues, state specifically what the employee has done to cause such contract termination. You may state the policy/ies the employee has violated. State when that happened, and how he did it. Again, you need to be particular and clear for a more concrete and solid validation of the termination. If the reason is about the company's financial issues, do not miss to clearly explain it in the letter also.

3. All Employee's Information

In a simple letter, always make sure to correctly lay out all the details about the employee. After including his complete full name, you should include whose supervisory he or she is under, in what department the employee belongs to, what is the employee's specific position ID number, and other relevant information.

4. Dates Are Important

Essentially, include the date of delivery of the sample letter to its recipient and, more importantly, when will the termination occur or be effective. This is to vividly give the employee time to finish whatever pending tasks he/she has and to prepare for whatever comes after his/her termination.

5. Properties

Some of the company's properties may have been utilized by the employee throughout his employment period. It can be a company laptop, phone, car, or even a magazine or paper puncher. Legally claim it by providing any means of proof of purchase about the item. Receipts will be your solid evidence about it. On the other hand, the terminated employees may also be entitled to compensation, benefits, or incentives that were left unclaimed. That is the least that you can do to support them in their next endeavors. State how and when they can possibly acquire them.

6. Labor Lawyers

For a more carefully composed termination letter, seeking advice from labor lawyers is highly advisable. They are more specialized in laws and regulations as mandated by the state regarding employee's rights (labor law).

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