The End Of Contract Letter To Employee is a crucial document in Malaysian employment practice, used when a fixed-term employment contract reaches its natural conclusion. It serves multiple purposes: official notification of contract completion, documentation of final entitlements, and clear communication of exit procedures. This document must comply with Malaysian employment legislation, particularly the Employment Act 1955 and related regulations. It typically includes details about final payments, benefit cessations, company property returns, and post-employment obligations. The letter helps protect both employer and employee interests by providing clear written documentation of the employment relationship's conclusion and ensuring all legal requirements are met.
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1. Letter Header: Company letterhead, date, reference number, and employee's full contact details
2. Subject Line: Clear indication that this is an End of Contract notification
3. Contract Reference: Reference to the original employment contract and its term
4. Confirmation of End Date: Clear statement of the contract's end date and last working day
5. Return of Company Property: List of company property to be returned before the last day
6. Final Payment Details: Overview of final salary, pro-rated benefits, and any other entitlements
7. Exit Procedures: Overview of required clearance procedures and handover requirements
8. Reference Offer: Statement about providing employment references if requested
9. Acknowledgment: Space for both parties to sign acknowledging the contract termination
10. Contact Information: Details of HR personnel handling the termination process
1. Certificate of Service: Offer to provide a formal certificate of service (required when specifically requested by employee)
2. Non-Compete Reminder: Reminder of any post-employment restrictions if specified in original contract
3. Foreign Worker Requirements: Additional instructions for foreign workers regarding work permit cancellation and immigration requirements
4. Outstanding Leave: Details of any unused annual leave and treatment of such leave
5. Performance Recognition: Positive acknowledgment of employee's service (for amicable terminations)
6. Continuation of Benefits: Information about any benefits that continue post-employment
7. Exit Interview: Details about exit interview arrangements if company policy requires one
1. Final Payment Breakdown: Detailed calculation of final payment including salary, prorated bonus, leave encashment, etc.
2. Company Property Checklist: Itemized list of company property to be returned
3. Exit Clearance Form: Checklist of departments requiring clearance before final settlement
4. Benefits Summary: Summary of any continuing benefits or insurance coverage post-employment
5. Tax Documentation: Required tax forms and documentation for final settlement
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