Letter of separation to employee 2023 (guide + free template)

This post covers a letter of separation to employee

Generally, an employer is duty-bound by law to provide an employee with a duly executed separation letter/notice explaining the reasons for separation/termination.

In some states like Georgia that can simply be done through a prescribed form.

Otherwise, you have to write a formal letter to that effect- a letter of separation to the employee.

Now, what the heck is a letter of separation to employee? how can I write a perfect one?

Relax!

I know writing a perfect letter of separation to employee is not easy, especially if you are doing that for the first time, you really need a detailed guide for that.

To help you handle that here I will take you;

  • what is a Letter of separation to employee
  • why do you need to write a Letter of separation to employee
  • How to write an effective Letter of separation to employee
  • Letter of separation to employee template
  • etc.

Let’s get started

What is a Letter of separation to employee?

A Letter of separation to employee is a brief written statement of facts written by an employer to an employee stating the reasons for separation/termination, benefits, and the other termination steps.

A Letter of separation to employee informs the employee that he has been fired and why, outlines the next steps he must take, and details any benefits or pay he is entitled to.

All pertinent information about the employee’s termination should be included in the letter of separation to the employee including the name and contact details of the manager or human resources representative in charge of the procedure, as well as other information like the employee’s name, position, and effective date.

The terms pink slip, letter of termination, contract termination letter, and notification of termination of employment are also used to describe separation letters.

Why do you need to write a Letter of separation to employee?

The following are the reasons why you need to write a Letter of separation to employee

  • First of all, it is a legal requirement to do so. You must do it!
  • An official and formal letter of separation is the best way to record the details of the separation between the employee and your company.
  • It is an opportunity to legally provide more information about the employment separation, including the grounds for the separation.
  • If any legal problems emerge in the future, it will assist in protecting the employer.
  • etc.

How to write a Letter of separation to employee

The letter of separation to employee is written in a business letter format. Begin your letter with your address and contact information, followed by a date and the employee’s address, and state that you are writing to end his employment, provide the reasons for separation, and include any further steps to be taken.

Finish your letter with SINCERELY followed by your name and signature.

REMEMBER the aim of your separation letter is to legally terminate the employee

Therefore the following is how you can write an effective Letter of separation to the employee.

  • Provide your name, address, and contact information
  • Include the date of the letter
  • Include the employee’s, address, and contact information
  • Include the employee’s name, title, and department
  • Open your letter by stating clearly that you are writing to end your employment relationship
  • Indicate the effective date of separation
  • Explain the reasons for termination
  • Explain the rights of the employer upon termination (compensations, payments, benefits, etc.)
  • State whether your separation decision is reversible
  • Make reference to any relevant documents signed by the employee (NDA, employment contract, policies, etc)
  • Explain what you want the employee to do in response to your letter
  • Attach any necessary documentation (warning letters, minutes, etc.)
  • Be concise and to the point
  • Maintain a professional tone
  • Be honest

Letter of separation to employee template

Your Name
Title
Organization Name
Address
City, State, Zip Code
phone
email

or

LETTERHEAD

DATE

[Employee’s Name]
[Employee’s Street Address]
[Employee’s City, State, and Zip Code]

Dear [Employee’s last name]

You are thus notified in writing that your employment with [business name] will end on [date of effective termination] due to the following reasons;

  1. Reason 1
  2. Reason 2
  3. Reason 3
  4. etc.

Kindly understand that this decision can never be changed.

You will receive: [Include the payment they will get, such as unused leave money, severance pay, unpaid wages, etc.].

[Explanation of what will happen with their benefits] is what your health care benefits will be.

Please return [list all company property that must be returned].

Please keep in mind that you have signed [note any contracts the employee has signed, such as a non-solicitation agreement or a confidentiality policy].

Please contact [contact name, often a member of HR] if you have any questions concerning this letter, the policies you have agreed to, your pay, benefits, or returning corporate property.

Sincerely,

Signature

Name

Position

Simple letter of separation to employee sample

Dear Ms. Kane

This letter is a notification that, as of May 10, 20…, we will no longer require your services.

Despite the fact that we have enjoyed our three years of collaboration with ABC software, we have opted to end our agreement owing to departmental reorganizations.

Please finish all outstanding tasks prior to the expiration of our contract, and provide all bills to us by June 10 in order for us to pay you in full. From June 10, you won’t be able to access our server or networks anymore.

I appreciate your efforts very much. If you have any questions, kindly get in touch with me by phone or email.

Sincerely

Signature

Mark Harrison
Director
ABC Softwares
555-187-1878
mh@abcsoftwares.com

Letter of separation to employee- without cause

Dear Mr. Brown

Re: Termination of employment

Your employment with ABC Online is hereby terminated effective on July 01, 20…This decision cannot be reversed.

Your final compensation for this month as well as reimbursement for any unused leave will be given to you today. You will be given a $37,000 severance payment after you have completed and returned the release of claims document that is attached.

Your medical benefits will continue to be available for another 90 days.

Before the day is over, please return the company laptop, swipe card, and cell phone.

Remember that you signed a confidentiality agreement as well. Please read the copy that is attached.

Please call me at 555-635-87267 if you have any questions regarding this letter, your compensation, benefits, business property, or any of the policies you have agreed to.

Sincerely

Shaw Michael

Letter of separation to employee pdf

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Isack Kimaro
Isack Kimaro

Editor-in-chief and founder of sherianajamii.com. Holder of Bachelor of Laws (LL.B) and Post Graduate Diploma in Legal Practice. Lawyer by profession and blogger by passion