The Termination Confirmation Letter is a crucial document in Malaysian employment practice that formally documents the end of an employment relationship. It is typically issued following verbal discussions or a notice of termination, serving as the official written record of employment separation. This document must align with Malaysian employment legislation, particularly the Employment Act 1955 and related regulations, ensuring proper documentation of notice periods, final payments, and other termination-related matters. The letter is essential for both employers and employees as it provides clear documentation of the termination terms, helps prevent future disputes, and ensures compliance with legal requirements regarding employment termination in Malaysia. Organizations use this document to maintain proper records and protect their interests while ensuring fair treatment of departing employees.
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1. Letter Header: Company letterhead, date, and recipient's details including name, position, and address
2. Subject Line: Clear indication that this is a termination confirmation letter
3. Opening Statement: Reference to previous discussions or notice of termination, confirming the termination decision
4. Termination Details: Specific details including last working day, notice period (if applicable), and basis for termination
5. Final Payment Information: Details of final salary, pro-rated benefits, and any other payments due
6. Company Property: List of company property to be returned and process for return
7. Employee Benefits: Information about cessation of benefits and any post-employment benefit continuations
8. Administrative Matters: Details about final clearance procedures and collection of personal belongings
9. Closing Statement: Expression of appreciation for service and good wishes for future endeavors
10. Signature Block: Authorized signatory details and space for signature
1. Garden Leave: Include when employee is placed on garden leave during notice period
2. Post-Employment Obligations: Reference to continuing obligations such as confidentiality and non-compete clauses
3. Retirement Benefits: Include for retiring employees eligible for retirement benefits
4. Settlement Agreement Reference: Include when termination is part of a mutual settlement agreement
5. Handover Requirements: Include when specific handover of duties or projects is required
6. References: Include policy on providing employment references if agreed
7. Outstanding Loans: Include if there are any company loans or advances to be settled
1. Final Payment Calculation: Detailed breakdown of final payment including salary, notice pay, and other entitlements
2. Company Property Checklist: Itemized list of company property to be returned
3. Benefit Entitlements Summary: Detailed summary of benefit cessation dates and any post-employment continuations
4. Outstanding Obligations Statement: List of any outstanding obligations or amounts due from either party
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