Top 10 Employee Termination Letter Samples

Companies should put special focus on drafting a termination letter that acknowledges the employee’s contribution, is considerate about their situation and still conveys the message of the company.

Termination of employment, though unpleasant, is still a part of an employer’s responsibility. And, every employer has to face this unpleasant experience of terminating an employee in their professional life. After all, termination is part and parcel of professional life.

Nevertheless, the employer can create a difference by changing the way they approach the act of termination. This starts with the employee termination letter. Companies should put special focus on drafting a termination letter that acknowledges the employee’s contribution, is considerate about their situation and still conveys the message of the company. So let us check out the ten top employee termination letter samples that can be used practically by companies.

1. Employee termination letter for probationary employee

Employers normally hire employees and keep them on probation for the initial few months before confirming their employment. This probation period generally lasts for 90 days or three months. It, however, depends on company to company. If the performance and professional conduct of the employee are not satisfactory and fall below the company expectations, then they are given an employee termination letter to relieve them from employment with the company.

(Name of Manager)
(Title)
(Phone Number)
(Email)
(Date)

(Recipient Name)
(Title)
(Company Name)

Dear ABC (Recipient Name),

We acknowledge and recognise the effort that you’ve put into your job role as (add job title) during your probationary period with (add firm name).
Regrettably, the results did not meet business expectations. We write this letter to inform you that your employment with (firm name) stands terminated effective today (or add date).

We will be processing your outstanding salary and your Record of Employment on the next scheduled payment date (add date). These documents would be mailed to your home address.

We wish you the best in your future endeavours.

Sincerely,
(Name of Manager)
(Title)
(Phone Number)
(Email)
(Date)

2. Immediate termination letter to employee

This is the basic employee termination letter format for employee. It can also be used as an immediate termination letter to employee. This letter includes the primary content which informs the employee of their termination. And has space below to add further explanations.

(Company Name)
(Street Address)
(City, State Pin Code)

Dear ABC,
With regret, we inform you that your employment with (add firm name) is being discontinued, effective (add date). Your termination is the consequence of:

Explanation 1 (add an explanation if any)
Explanation 2 (add an explanation if any)

Kindly return any company property that is in your possession. A delay or failure in doing so would cause a delay in the issuance of your final paycheck.

Any severance payments will be made according to the policies of the organisation (add company name).

If you are entitled to any remaining paid leaves, they will get calculated and paid under the company (add company name) policies. If you have any questions or concerns, you can contact the HR department.

Sincerely,
(Name)
(Title)
(Signature)

3. Employee termination letter for poor performance

After the successful hire of an employee, non-performance can prove to be costly for the organisation. The company can try to train the employee and develop their skills to be par with the organisational requirements. However, if the employee still fails to perform, you can use this sample termination letter to employee.

Dear ABC,

We regret to inform you that your employment as (add job title) with (add firm name) has been officially terminated with effect (add date).

The decision of the company to terminate your employment is based on your consistent poor performance in the past three months, which has not shown any signs of improvement or failed to meet company expectations following your receipt of our oral and written warnings.

You were already made aware by the company that the last date of the notice period issued with the final written warning would be our last day of employment with the company if your performance fails to meet the minimum performance standards set by the company.

Your severance payments, including all unused paid leaves, will be mailed to you at your residential address. If you have any questions or queries, you can contact the HR department.

Thank you, and we wish you all the best in your future endeavours.

Sincerely,
(Name)
(Title)
(Signature)

4. Employee termination letter sample for restaurant employee

A restaurant business is a very customer-sensitive business which is more dependent on customer experiences when inside the restaurant. Therefore, the restaurant management pays great attention to the customer experience right from the second they enter the premises to the moment they walk out. However, if your employee shows inappropriate conduct in front of the customer or is involved in unethical practices at work, then you can use this letter for job termination template for your restaurant employees.

Dear ABC,
We regret to inform you that your employment shall end on (add date). The mentioned date will be your last day of work with (add firm name). The aforementioned data is as per the notice period for employment termination as specified in your contract. The reason for termination of employment is improper conduct or behaviour with the customer. The details are mentioned in the attached documents.

Please return all company equipment, material or documents that are in your possession. Please observe confidentiality as per our data protection policy as agreed upon at the start of your employment.

You are entitled to a severance package which you will get on your last day of service. Failure or delay in returning company property which is in your possession will cause a delay in your final paycheck.

If you have any questions or doubts, you can contact the HR department.

Thank you for your service. We wish you great success in your future endeavours.

Sincerely,
(Name)
(Title)
(Signature)

5. Sample termination letter of employee benefits

This termination letter is to inform the employee about the termination of their employee benefits. The letter mentions the appropriate reasons for benefits termination and the effective date.

From,
(Company Name)
(Street Address)
(City, State Pin Code)

To,
(Employee details)
(Date)

According to our records, you have been inactive in conducting research-based activities with the organisation for the given financial year (add date). Therefore, you will not be eligible to receive research allowance or grants from the company. Further, any additional benefits associated with the aforementioned allowance will get discounted from (add date). Other privileges and benefits that will continue are outlined in the attached document summary.

Last Date of benefits eligible status ___________________
Date of cancellation of eligible benefits _______________

Sincerely,
(Name)
(Title)
(Signature)

6. Employee termination letter sample

Here is another sample employee termination for employees whom you had hired expecting good performance, but their performance has turned out to be below your expectations.

Dear ABC,

We regret to inform you that your employment with (add company name) shall officially get terminated on (add date). The reason for termination of employment and the details of your severance benefit and compensation are mentioned in the attached document. The decision is final and irrevocable.

Please return all the company property that you may have in your possession before the final date. If you have any question or concern, you can contact the HR department.

We wish you success in your future endeavours.

Sincerely,
(Name)
(Title)
(Signature)

7. Sample employee termination letter due to prolonged absence

Few employees go on an unexplained leave of absence for prolonged periods, wherein they are uncontactable, or there are no signs of them returning to the organisation. This is highly unacceptable behaviour as per any company rule. Here is a termination letter to send out to such employees.

Dear ABC,

Subject: Termination of Employment

It is our unfortunate duty to inform you that your employment with (add company name) stands terminated from (add date).

The reason for termination is the multiple unexplained and uninformed leave of absence from work for prolonged periods that you have taken.

You will receive your entitled severance package as per company policy. You will receive a statement detailing your accrued benefits.

(Name of HR executive) will discuss the final details with you as well as answer your question or doubts, if any. Kindly get in touch with him/her at the earliest to discuss your termination process and final package.

This action by us was deemed necessary. We wish you success in your future endeavours.

Yours truly,
(Name)
(Title)
(Signature)

8. Sales employee termination letter sample

Let us check out this customisable employee termination letter for sales employees, owing to poor performance among other reasons.

To,
ABC,
(Job title)
(Company name)
(Address)
(Pin code)
(Date)

Subject: Termination letter for employment

Dear ABC,

We are writing this letter to inform you that your employment in the job position of (add title) with (add company name) has been terminated. We request you to initiate your termination process and vacate your desk post the lapse of your notice period.

For more than three months, your sales performance has been below company expectations. This issue was already discussed with you by the management. The management also provided you with the required training and development to enhance your skills. Despite all the support provided by the company, your performance failed to achieve the expected objective.

Further, we have received complaints from your team members and colleagues about your bad behaviour and improper conduct at work. Despite the repeated warning, you have failed to show any improvement in your behaviour. Therefore, management has decided to terminate your employment.

Your employment contract empowers the employer to terminate your employment after six months of employment on the grounds of misbehaviour or misconduct. Therefore, the decision is legally right, final and irrevocable.

If you have any questions or doubts, feel free to contact the HR department.

Thank you for your service. We wish you success in your future endeavours.

Sincerely,
(Name)
(Title)
(Signature)

9. Employee termination letter sample due to redundancy

The below employee termination letter sample can be used for an employee whose services are deemed redundant.

Private and Confidential
(Date)
(Employee name)
(Employee address)

Subject: Termination of employment because of redundancy

Dear ABC,

Our purpose of writing this letter is to confirm the result of a recent review by (add company name) on its operational necessities, and what this outcome means to you.

As a result of (provide the reason. For example — downturn, closure of the store, etc.), the company feels that the job position of (add job title) is no longer required. Unfortunately, this means that your job will get terminated. This decision doesn’t reflect your performance and primarily from the business perspective. Further, we’d be happy to write you a letter of recommendation.

(The next section should provide the available options for the employee. You can customise the sentences as per the options you provide to employees.)

Based on your (months/years) of service, your notice period will be (add duration). Therefore, your employment with (add company name) would end on (add the date).

As your employment ends due to redundancy, you will be paid a redundancy pay (add amount) according to your contract. The amount represents your (add duration) pay based on your years of service. You will be entitled to outstanding pay if any and accrued entitlements and severance pay till the last day of employment.

You can contact the HR department for any queries or concerns.

Thank you for your valuable contribution during your period of employment with (add company name).

We wish you success in your future endeavours.

Sincerely,
(Name)
(Title)
(Signature)

10. Basic termination notice sample letter

Let us check out the basic notification letter for termination of employment as a way of layoff.

Dear ABC,

With regret, we have to inform you that you are being laid off from the job position of (add job title) effective from (add date) due to lack of funds and/or lack of work which has necessitated this layoff. The duration of layoff is indefinite and must be considered as permanent.

We assure you that your termination is not a reflection of your performance. We highly appreciate your contribution to this organisation. Further, we’d be happy to write you a letter of recommendation.

We sincerely regret your current problems that have necessitated this layoff. We wish you the best of success in your future endeavours.

Sincerely,
(Name)
(Title)
(Signature)

These employee termination letter samples will help you carve out a pleasant termination letter for your employees. After all, the goal should be to make this separation seamless, smooth and pleasant for the employee as well as the employer.

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