The Service Termination Letter is a crucial document in Singapore's employment landscape, used when an employer needs to formally terminate an employee's services. This document must be drafted in accordance with Singapore's Employment Act and related legislation, ensuring compliance with statutory notice periods, payment obligations, and employee rights. The letter typically includes essential information such as termination date, notice period, final payment details, and handover requirements. It serves as both a legal record and a practical guide for the termination process, protecting both employer and employee interests while ensuring a proper conclusion to the employment relationship.
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1. Date and Address Block: Current date and recipient's full address details
2. Subject Line: Clear indication that this is a termination notice
3. Termination Statement: Clear statement of employment termination and effective date
4. Notice Period: Specification of notice period and last working day
5. Final Payment Details: Information about final salary, benefits, and other payments
6. Company Property: Instructions for returning company property
7. Signature Block: Company representative's signature and details
1. Reason for Termination: Include when termination is for cause or restructuring - use when transparency about termination reason is required or beneficial
2. Non-Compete Reminder: Reminder of existing non-compete obligations - use when employee is bound by non-compete clauses
3. Reference Provision: Information about providing references - use when company policy allows for references
1. Final Settlement Calculation: Detailed breakdown of final payment including salary, leave encashment, and other benefits
2. Handover Checklist: List of items and responsibilities to be handed over
3. Exit Clearance Form: Document tracking return of company property and clearance from various departments
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