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When to Use
Presenting employees with a termination letter is one of the preferred methods for ending the relationship as it displays a high level of professionalism. It’s not usually a legal requirement, but there are many benefits, including:
- Proof of termination in the event of a lawsuit or dispute or for unemployment eligibility.
- Clarification of the post-employment process.
- Explanation of compensation (severance and other benefits) and the expiration of benefits (medical, retirement, etc.).
State Requirements
A written letter of termination is legally required only in the following states:
Attachments
In some cases, the employer may need to attach additional documents to a letter of termination to comply with proper dismissal policies.
- HR Records – Staff complaints, poor behavior/performance, violations, etc.
- Receipt of Company Property – List of company property to be returned.
- Legal Agreements – Any NDAs, NCAs, or NSAs that were signed by the employee.
- Separation Notice – Notice of the right to claim unemployment benefits.
Sample
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EMPLOYEE TERMINATION LETTER
[EMPLOYER NAME]
[EMPLOYER STREET ADDRESS]
[EMPLOYER CITY, STATE, ZIP]
Date: [MM/DD/YYYY]
[EMPLOYEE NAME]
[EMPLOYEE STREET ADDRESS]
[EMPLOYEE CITY, STATE, ZIP]
Dear [EMPLOYEE],
This letter is to inform you that your position at [COMPANY] has been terminated as of [DATE]. The reason for termination is as follows: [PROVIDE REASONS FOR TERMINATION].
Your last day of work will be [DATE], and you will receive your last paycheck no later than [DATE].
Please review the following information regarding your termination:
[PROVIDE DETAILS CONCERNING SEVERANCE, BENEFITS, UNCLAIMED VACATION DAYS, RETURN OF PROPERTY, ETC.].
Thank you for your contributions during your employment.
Best regards,
[EMPLOYER SIGNATURE]
[PRINTED NAME]