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What is a Service Letter?

A Service Letter is a formal document that employers in the Philippines provide to departing employees, stating their length of service, position held, and reasons for separation. This document plays a crucial role in Philippine labor relations, as it helps workers transition to new jobs by providing official proof of their previous employment.

Under Philippine labor laws, companies must issue Service Letters when requested by former employees. The letter serves as both a legal record and a professional courtesy, protecting workers' rights while helping them document their work history. Many Filipino businesses now consider it a standard part of offboarding procedures.

When should you use a Service Letter?

Request a Service Letter when leaving a job in the Philippines - it's a valuable document for your next career move. This official record of your employment becomes essential when applying for new positions, especially in regulated industries or government roles where employment verification is mandatory.

The letter proves particularly useful during background checks, visa applications, or when seeking professional certifications. For employers, issuing Service Letters right after an employee's departure helps maintain positive relationships and ensures compliance with Philippine labor regulations, while protecting against potential employment disputes.

What are the different types of Service Letter?

  • Basic Employment Verification: Most common type of Service Letter that confirms dates of employment, position, and basic job duties - essential for job applications
  • Detailed Performance Letter: Expanded version including achievements, skills acquired, and conduct assessment - valuable for senior roles or specialized industries
  • Project-Specific Letter: Focuses on specific projects or assignments completed during employment - useful in technical or consulting fields
  • Regulatory Compliance Letter: Enhanced version meeting specific industry requirements, particularly important in banking, healthcare, or government sectors

Who should typically use a Service Letter?

  • HR Managers: Draft and issue Service Letters, ensuring compliance with labor regulations and maintaining accurate employment records
  • Department Heads: Review and verify employment details, job responsibilities, and performance information included in the letter
  • Former Employees: Request and use Service Letters for job applications, visa processing, or professional certifications
  • Prospective Employers: Rely on Service Letters to verify candidates' work history and assess their professional background
  • Government Agencies: Accept Service Letters as official proof of employment for various administrative procedures

How do you write a Service Letter?

  • Employee Details: Gather complete name, position title, department, and dates of employment from HR records
  • Employment History: Document key responsibilities, projects handled, and significant achievements during tenure
  • Separation Details: Note the official reason for separation and last day of work
  • Company Information: Include complete business name, address, and authorized signatory details
  • Format Check: Use our platform's Philippine-compliant template to ensure all mandatory elements are properly structured
  • Final Review: Verify accuracy of dates, position titles, and other facts with department records

What should be included in a Service Letter?

  • Company Letterhead: Official business name, complete address, and contact details
  • Employee Information: Full legal name, position title, and employee ID number if applicable
  • Employment Period: Precise start and end dates of employment relationship
  • Job Description: Primary responsibilities and role within the organization
  • Separation Details: Clear statement of reason for employment termination
  • Compliance Statement: Confirmation that all legal obligations and clearances are fulfilled
  • Authorization: Signature of authorized company representative with official designation
  • Date of Issuance: Current date when the letter is signed and released

What's the difference between a Service Letter and an Employment Reference Letter?

Service Letters differ significantly from Employment Reference Letter in several key aspects, though both relate to employment documentation in the Philippines. While they may seem similar at first glance, their purposes and legal implications are distinct.

  • Legal Requirements: Service Letters are mandatory documents that employers must provide upon request, while Employment Reference Letters are voluntary recommendations
  • Content Focus: Service Letters strictly document employment duration, position, and separation details, whereas Reference Letters include performance evaluations and character assessments
  • Legal Weight: Service Letters serve as official employment records admissible in legal proceedings, while Reference Letters primarily support job applications
  • Timing: Service Letters are issued upon employment termination, but Reference Letters can be requested and provided at any time
  • Liability Impact: Service Letters carry specific legal obligations under Philippine labor law, while Reference Letters involve minimal legal exposure

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