What is a termination letter?

A termination letter is a notice that an employer sends to an employee, informing the latter that they have been removed from their job duties. It is usually sent to help the departing employee follow the guidelines for exiting their employment and smoothen the possibly difficult transition out of the company.

When should you not use a termination of employment letter?

In most cases the termination of employment letter is not required to fire a worker. However, in New York, California, and Connecticut they are a must, and in a few others they need to be sent upon employee demand. They are also necessary in case an employee is a member of a trade union or a part of a collective bargaining agreement.

What should a termination letter say?

A letter of termination should state the date for employee termination, the reason for termination, the requirements for outstanding payments and deliveries, as well as a reminder to return company equipment and to follow specific exit policies (if applicable).

Termination Letter Template

Created by:

[Sender.FirstName][Sender.LastName][Sender.Company]

Prepared for:

[Employee.FirstName][Employee.LastName][Employee.Company]

Dear [Employee.FirstName]:

This letter is to inform you that [Sender.Company] has decided to terminate your employment effective [Document.CreatedDate] due to (state the reason for termination).

Please note that you will receive all the outstanding payments owed as per the company's payment policy.

Attached herewith is a separate form detailing the severance package you are eligible for under your employment contract terms. Please review it and send feedback to [Payment officer.FirstName][Payment officer.LastName][Payment officer.Email] by (input the date) for appropriate filing.

(Input the details of the officer in charge of payment) can be contacted via phone at [Payment officer.Phone] or by email at [Payment officer.Email]. Failure to do so by (input the deadline for questions to be answered) can potentially risk further delays on your final paycheck.

Your final compensation is due on (input the date of last payment). The payment will be processed using the usual channels.

Note that you will enjoy your (specify whether full or partial) health benefits for a further (enter number of days) days from the period of your termination.

Other benefits will include (enter a complete list of other benefits along with their specifications, bulleted for easy readability).

A human resource representative will get in touch with you in the course of (enter the duration) to cover the details of your benefits. For further queries concerning your payment packages or other privileges, please contact [Payment officer.FirstName][Payment officer.LastName] at [Payment officer.Phone] or via [Payment officer.Email].

You are required to hand in (enter the complete list of items needed from the employee) to (enter the receiving authority) on or before (input the date). Be sure to fill out the check-out form once done for filing purposes. Please note that everything on the list will undergo a quality check, and appropriate actions will be taken upon delivery.

Company policy requires the holder to take full responsibility for misplaced or damaged items. To find out more about this, you may contact (enter the receiving authority) who is available at (enter receiving authority's phone number).

You are hereby reminded that you are still bound by all the relevant confidentiality agreements you agreed to at the beginning or in the course of your contract. Copies of (enter list of all applicable documents attached) are available with this letter for your review.

[Sender.Company] expects your full compliance regarding all the terms and conditions specified in each one of the attached documents. Please delete or destroy any sensitive information in your possession that may violate any of these categories or risk legal action.

Don't hesitate to contact the human resource office at [HR department.Phone] or [HR department.Email] to seek any clarifications regarding details in this letter or any other pertinent issues. Your contribution to the company is recognized and highly appreciated. [Sender.Company] wishes you the best in all your future endeavors.

Sincerely,

Signature

MM / DD / YYYY

[Sender.FirstName][Sender.LastName][Sender.Company]

Signature

MM / DD / YYYY

[Employee.FirstName][Employee.LastName]

[Employee.Company]

Termination Letter Template