The answer is yes, only if the employment is at-will. In such cases, either the employer or employee can easily end their employment relationship at any time they want, and that too without cause or notice. Until, and unless an employment agreement you have signed or some local labor law states otherwise.
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10 Ultimate Termination Letter To Ensure Best Employee Farewell
- Termination Notice
- 9 min read
- October 25, 2023
What’s the best way to write a termination letter without making it worse for everyone involved?
With a good termination letter just like a job application letter format, companies can balance legal clarity and human decency. Because no matter what the reason is, whether it’s because of poor performance, violations of the policy, or some restructuring issue, writing and framing an efficient termination form can be a tough task to deal with!
And for that reason, as a termination letter provider, you have to ensure the right tone and structure. Because a well-written termination letter can offer a respectful and professional farewell, stating a clear explanation, which will help protect your company by supporting your team.
As the company’s decision-making personnel, you won’t have any deep regret if you just have to read this blog. Because after reading this blog, you will have everything you will need as an HR professional – from how to write a termination letter, what to include & when to send it, to 10 customizable employee termination letter samples for different scenarios.
After we have provided a list 10 best sample employee termination letter, we will help you solve common queries about termination that HR folks are troubled with! So, are you ready to make your employee farewells more respectful and compliant?
- What is the Termination Letter?
- How to Write a Termination Letter?
- 10 Employee Termination Letter Sample
- 1. Termination Due to Poor Performance
- 2. At-Will Termination Letter
- 3. Termination Due to Company Restructuring
- 4. Termination at End of Contract
- 5. Termination Due to Layoffs
- 6. Termination Due to Policy Violation
- 7. Termination for Absenteeism
- 8. Termination for Cause with Prior Warnings
- 9. Termination Due to Company Closure
- 10. Termination With Severance Offer
- Conclusion
What is the Termination Letter?
A termination letter for any employee is an official notice to formally end their employment relationship with the company. So, this letter serves as the termination notice, which includes all the key information like;
- Employee’s name,
- Job title,
- Termination date, and
- The reason for termination.
Companies are using these letters to document their entire termination process, explain the terms & avoid future legal disputes.
Whether it’s an at-will termination letter or a result of contract breach, every termination letter template needs to be clear and factual. HR teams usually draft these with input from a qualified legal professional to avoid issues around wrongful termination or breach of the employment contract.
Some letters come after prior warnings or performance reviews. While others follow crucial events like company restructuring, misconduct, or sometime even policy violations. In all such cases, the letter must serve not just to simply inform, but also to provide clarity on crucial things like;
- Severance pay,
- Final paycheck, and
- The return of company-issued property.
A good letter protects the company and gives the employee a clear sense of closure, helping reduce confusion and potential legal issues later.
How to Write a Termination Letter?
To write a termination letter, you have to insert reasons, always stick to the facts, stay professional, and include all necessary details.
So, while writing such a letter, you should start by including the employee’s name, job title & the termination date. Always ensure to stay pretty much clear about the reason for termination — whether it’s poor performance, policy violations, or company restructuring. And make sure that are keep any kind of emotional language away from the employee fraud termination letter and more, because this right here is a legal document.
Here’s what every solid termination letter should have:
- Employee details: Include the employee’s name, position, and department.
- Termination date: State when the termination is effective, immediately or with notice.
- Reason for termination: Keep it brief and factual. Avoid going beyond what’s necessary.
- Final paycheck info: Mention when and how it will be delivered, and include details on unused vacation time or remaining vacation days.
- Return of company property: List items like company cell phone, laptop, access cards, or anything from the company property list. Clarify the deadline for returning company property.
- Severance pay or severance package: If applicable, include terms, amount, and date of release.
- Other benefits: Include info about employee benefits and when they will end.
- Contact information: Provide the HR contact name and HR contact information for any further questions.
Before you start sending these letters to your employees’ personal devices, you should first review them thoroughly with your legal team. This way, you can be sure that it aligns with company policy and reduces the risk of legal disputes. So, if you’re unsure about anything in the letter, it’s smart to speak with a qualified legal professional.
Need a structure? A good termination letter format follows this order:
- Start with a clear subject line.
- Formally notify the employee of their termination.
- Provide the reason for termination.
- List the termination date and related info.
- Explain next steps (pay, property, support).
- End on a neutral note, wishing them well in their future endeavors.
10 Employee Termination Letter Sample
Each sample employee termination letter below includes the core info — termination date, employee name, job title, and the reason for termination. Customize them based on your company name, employment agreement, and any company policies.
1. Termination Due to Poor Performance
Subject: Termination of Employment – [Employee Name]
Dear [Employee Name],
This letter serves as formal notice and proper documentation that your employment with [Company Name] will end on [Termination Date]. The reason behind this termination decision is continued poor performance despite multiple prior warnings & support measures.
Your final paycheck, including any unused vacation time, will be provided on your last day. Please return all company property, including your company laptop and ID badge, to the HR office by [Date].
So, if you have any further questions regarding the job application letter format, contact your human resources [HR Contact Name] at [HR Contact Information].
We wish you success in your future endeavors.
Sincerely,
[Your Name]
[Job Title]
2. At-Will Termination Letter
Subject: Termination of Employment – At Will
Dear [Employee Name],
As an at-will employee, your employment with [Company Name] is being terminated effective immediately as per the terms outlined in the policy, as permitted under our employment agreement.
Your final paycheck after careful consideration of your time at the company will be issued on your termination date, including payment for all hours worked. Please make sure that you have returned any company-issued property, such as your access card and company cell phone, by [Date].
You can find and resolve any potential queries about your employee benefits or other offboarding steps from [HR Contact Name]
Best,
[Your Name]
[HR Department]
3. Termination Due to Company Restructuring
Subject: Position Elimination Due to Company Restructuring
Dear [Employee Name],
We regret to inform you that your position with [Company Name] is going to be terminated on [Termination Date], and the reason behind that is termed as the internal company restructuring.
Furthermore, you will be receiving your final paycheck, along with a severance package just like we have outlined in our employment contract. So, please make sure to return all company property before your final day.
For any kind of query and further questions, you can contact [HR Contact Name] in the HR department.
We appreciate your contributions and wish you the best in your future endeavors.
Sincerely,
[Your Name]
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4. Termination at End of Contract
Subject: End of Contract – Termination of Employment
Dear [Employee Name],
This letter is to confirm that your employment agreement & labor relations with [Company Name] are gonna be concluded on [Termination Date], as per the contract terms.
You will receive your final paycheck on this date. Please ensure that all company property is returned and offboarding tasks are complete.
If you have any contact details updates or benefit-related queries, reach out to [HR Contact].
Thank you for your service.
Sincerely,
[Your Name]
[Job Title]
5. Termination Due to Layoffs
Subject: Employment Termination Due to Layoff
Dear [Employee Name],
Due to recent organizational changes in the organization, your employment with [Company Name] is gonna end on [Effective Date]. And here we want to mention that such a decision regarding the employee’s position is not performance-related but is a part of a wider layoff process.
Moreover, as per the non disclosure agreements, you are very much eligible for severance pay as outlined in your employment contract. And to further mention that your final paycheck will include payment for all earned time off.
Please return all company assets by [Date]. For any questions, contact [HR Contact Name].
Best regards,
[Your Name]
6. Termination Due to Policy Violation
Subject: Termination of Employment Due to Policy Violation
Dear [Employee Name],
Your employment with [Company Name] is notably terminated, and that will be effective immediately, and the reason behind that is a clear violation of company policies. This action follows a detailed review and prior communications regarding conduct expectations.
Your final paycheck will be processed immediately. Please return your company property including [list items], by [Termination Date].
For more information, contact [HR Contact Information].
Regards,
[Your Name]
7. Termination for Absenteeism
Subject: Termination Due to Absenteeism
Dear [Employee Name],
After multiple instances of unapproved absences, your employment with [Company Name] is being terminated as of [Termination Date].
Your final paycheck will cover all worked hours and remaining vacation days. Please return all company-issued property, including your access badge and laptop.
You may reach out to [HR Contact] if you have questions.
Sincerely,
[Your Name]
8. Termination for Cause with Prior Warnings
Subject: Termination of Employment – Repeated Violations
Dear [Employee Name],
Despite multiple prior warnings, performance concerns and policy violations have continued. Your employment with
Superworks
[Company Name] is terminated effective immediately.
Your final paycheck and any entitled severance pay will be processed by [Date]. Please return all company property, and schedule an offboarding meeting with HR department.
Contact [HR Contact Name] for further info.
Regards,
[Your Name]
9. Termination Due to Company Closure
Subject: Termination Due to Closure of Operations
Dear [Employee Name],
We regret to inform you that because of the closure of [Company Name] operations, your employment is gonna end on [Termination Date].
Furthermore, from here on, you are gonna receive a severance package, your final paycheck, and guidance on benefits coverage. Ensure all company property is returned.
For questions, contact [HR Contact].
Best,
[Your Name]
10. Termination With Severance Offer
Subject: Termination of Employment with Severance Offer
Dear [Employee Name],
Your employment with [Company Name] is ending on [Termination Date], and even after termination, you are gonna receive a severance package, as per the terms of which are included in this letter.
Furthermore, you will also receive your final paycheck & instructions for returning company property. For any benefit-related queries, reach out to [HR Contact Name].
We appreciate your service and wish you the best in your future endeavors.
Sincerely,
[Your Name]
[HR Department]
Conclusion
Handling employee terminations correctly is highly critical, and after going through various sample letter in the above section, you will agree on that! And to be honest, it’s not just about the person leaving, but also for the team that is staying behind, and also for the reputation of the company.
Henceforth, a well-written sample termination letter is highly crucial, because that can only ensure that your termination process is clean, documented, and professional. So, whether it’s a layoff in your office, restructuring, or you have to write an employee fraud termination letter, there can be enough clarity while writing.
And just these letters for termination have streamlined your termination process, as a company, you’re in need dire need of tools like HRMS software that can help streamline company processes! Such platforms are proving themselves highly efficient in accessing employee records to manage the entire termination of employment cycle.
And if you’re using high-end HRMS software like Superworks, you get to enjoy built-in templates, automation & tracking that save time and reduce manual effort.
So, if you’re an HR manager who wants to simplify your entire process of termination, you now have all the needed templates, tone, and checklist to do it right. And if by taking one step further, you want to streamline entire business operations, have Superworks!
FAQs
Can an employee be terminated without notice?
What should you include in your employee termination letter?
While writing such a letter, you should be aware enough to include all the crucial information, such as the employee name, job title, termination date, reason for termination, final paycheck details, & instructions for returning company property. Also, note any severance pay, benefits, and contact information for HR.
Who writes a termination letter?
The HR department typically writes the termination letter. Sometimes, it's drafted by the direct supervisor and reviewed by the legal team or a qualified legal professional to ensure it aligns with the company’s policies and local labor laws.
Can a termination letter be cancelled?
Yes, but it depends on the situation. If a termination was issued in error or circumstances change (like a project being extended), HR may issue a written retraction before the termination date. However, once processed and legally recognized, reversing it can be complex.
Will I get my salary if I get terminated?
Yes, terminated employees are entitled to receive their final paycheck. This should include all worked hours, unused vacation time, and any applicable severance pay. The timing and method of payment depend on state laws and company policies.