The Official Letter of Termination is a crucial document in New Zealand employment practice, used to formally document the end of an employment relationship. It must be drafted in accordance with New Zealand's Employment Relations Act 2000 and related employment legislation, ensuring compliance with legal requirements for notice periods, procedural fairness, and good faith obligations. The letter serves multiple purposes: it confirms the termination decision in writing, specifies the final working day, outlines any entitlements or obligations, and provides a formal record of the employment conclusion. This document is essential for both employer and employee as it helps prevent future disputes and ensures clarity regarding the termination terms.
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1. Company Letterhead and Date: Official company letterhead with full contact details and the current date
2. Employee Details: Full name and address of the employee
3. Subject Line: Clear indication that this is a termination letter
4. Notice of Termination: Clear statement of employment termination with specific end date
5. Reason for Termination: Brief, clear explanation of the termination reason (if applicable)
6. Notice Period Details: Specification of notice period and last working day
7. Final Pay Information: Overview of final payment including salary, holiday pay, and other entitlements
8. Company Property: Instructions regarding return of company property
9. Closing Statement: Professional closing with acknowledgment of service
10. Signature Block: Space for employer signature, name, and title
1. Garden Leave: Include when employee is not required to work during notice period but will remain on payroll
2. Confidentiality Reminder: Include when employee has access to sensitive information
3. Reference Offer: Include when company is willing to provide future references
4. Post-Employment Restrictions: Include when reminder of existing non-compete or non-solicitation clauses is needed
5. Outplacement Support: Include when company is offering career transition assistance
6. Exit Interview: Include when an exit interview is to be scheduled
1. Final Payment Calculation: Detailed breakdown of final pay including holiday pay, outstanding wages, and any other entitlements
2. Company Property Checklist: List of company items to be returned
3. Employee Benefits Summary: Summary of benefit termination dates and conversion options
4. Exit Process Checklist: Step-by-step guide for completing the termination process
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