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The Termination Of Contract Due To Poor Performance document is a crucial instrument in South African employment law, used when an employer needs to end an employment relationship due to unsatisfactory work performance. It can only be implemented after following a comprehensive performance management process as required by the Labour Relations Act 66 of 1995. The document must demonstrate that the employee was given reasonable opportunity to improve, received appropriate guidance and support, and that the decision to terminate follows fair procedure. It should include references to specific performance standards not met, documentation of improvement attempts, and clear terms of the termination. This document is particularly important in South Africa's highly regulated labor environment, where unfair dismissal claims are common and employers must show both procedural and substantive fairness in their actions.

1. Letterhead and Date: Company letterhead including full registered details and current date

2. Recipient Details: Employee's full name, employee number, position, and department

3. Subject Line: Clear indication that this is a notice of termination of employment due to poor performance

4. Performance History Reference: Summary of previous performance discussions, warnings, and improvement plans

5. Specific Performance Issues: Detailed description of performance shortfalls with specific examples and dates

6. Improvement Opportunities: Documentation of support, training, and opportunities provided to improve performance

7. Legal Basis: Reference to relevant clauses in employment contract and applicable legislation

8. Notice Period: Clear statement of notice period and final working day

9. Final Payment Details: Information about final salary, leave pay, and other entitlements

10. Company Property: Instructions regarding return of company property

11. Closing and Signatures: Space for signatures of authorized company representative and acknowledgment by employee