Job Termination Letter

A job termination letter notifies an employee that his or her employment with a company is ending. It can be used as a written confirmation of the discussion held during a job termination meeting. It is written on company letterhead and authored by a person who has hiring and firing authority in the organization.

Format and Content

The length of the letter is dependent upon the circumstances of the employment termination and the amount of information the employee needs to know. The first paragraph of the termination letter format includes a clear intention statement. It is up to the employer to determine whether or not to list a cause for termination. Information regarding the return of company property, the employee’s final paycheck, benefits, and eligibility information under COBRA should be included.

Sample

Sometimes employees are terminated through no fault of their own. In this job termination letter sample, the employee is being let go due to the sale of the company. The employee is encouraged to apply with the purchasing organization; however, he is warned he may lose his severance if he accepts a position with the company before his last day of employment.

Dear Tom,

As you know, I have decided to sell Landscape Designs to the national chain Lawns Unlimited. The sale will become final on August 1, 2013. On this date all physical and intellectual property currently owned by Landscape Designs will become the property of Lawns Unlimited. Unfortunately, they have decided not to retain the workforce of Landscape Designs. As of August 1 your employment with the company will be terminated. However, Lawns Unlimited has agreed to review the work history and resumes of current employees.

I will be happy to forward your resume to the hiring office or you may send the hiring manager an updated resume. I have already sent a letter of recommendation detailing your dedication, creative ability, and superior customer communication skills. I am confident you are a good fit for this organization and I encourage you to seek an interview with Mr. Roberts, who is the head of their sales division for the Southwest region. You can email Mr. Roberts at [email]

I deeply appreciate the 10 years you have dedicated to helping me build my company. On your last day of employment you will receive a severance package. You will be paid 2-week’s severance, at your full pay rate, for every year of service. In addition, you will be paid for all accrued and unused PTO days. This pay will be included with your final paycheck. You will receive your final paycheck on your last day of employment. If you have any questions, you may contact the Employee Benefits Department at (555)-555-5555.

I realize you may find a new opportunity before your scheduled last date. Should this be the case, you will receive your severance package, your final pay package, and a letter detailing your eligibility to continue company insurance under COBRA by mail. If you elect to pursue a position with Lawns Unlimited before your employment termination date, you may not be eligible to receive the severance package.

Thank you Tom for your loyalty and hard work. I know you will do well in whatever position you secure. I would like to schedule an exit interview with you during your last week of employment. My assistant will be sending you an email with several appointment options and you may pick the one that is best suited to your schedule.

Sincerely,

Barry Sobel

Mr. Barry Sobel, Owner

Landscape Designs