Termination letter (ending employment)
Ending an employee's job by notice, for misconduct proved after an enquiry, or at the end of a contract: date, notice pay, final dues and property to return.
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How the paper begins
With Dastavo's sample details; the people and places are fictional. The words in blue are the ones you fill in.
TERMINATION OF EMPLOYMENT
Date: 12-10-2026
By Registered A.D. / Speed Post
To,
Shri Rohan Kumar
House No. 12, Street No. 3, Nanak Nagar, Amarnagar, Tehsil and District Amarnagar, Punjab
Subject: Termination of your employment as Mechanic
Sir/Madam,
We, Vikram Auto Works, write to inform you as follows about your employment with us:
1.You were employed with us as Mechanic from 01-06-2024 under the appointment letter dated 25-05-2024.
2.Under the terms of your employment either side may end it by giving 30 days' notice, or pay in lieu of notice. Owing to the closure of our second workshop at Kalyanpur, we have decided to end your employment, and instead of notice you will be paid ₹18,000 (Rupees Eighteen Thousand only) as pay in lieu of 30 days' notice.
3.Your employment shall accordingly end at the close of working hours on 15-10-2026, and you need not attend work after that date.
4.Your full and final settlement, including your pay up to 15-10-2026, the pay in lieu of notice, pay for leave earned but not taken, and any gratuity, bonus or other amount due to you under the law, will be paid to you by 17-10-2026 by bank transfer, against a receipt. If any law that applies to our establishment entitles you to a further payment on termination, such as retrenchment compensation, it will be included.
The rest of the paper is in Dastavo.
What to bring
Papers to bring
- The appointment letter or employment agreement, to check the notice period
- For misconduct: the show-cause notice, the employee's reply, the enquiry report and the findings
- The attendance and pay records, and the final settlement worked out (pay, notice pay, leave, gratuity, bonus)
- The list of the employer's property with the employee
- The business's letterhead and rubber stamp, if it has them
Where to go
Printed on the employer's letterhead, signed with the business seal, and handed to the employee against signature, or sent by registered post or speed post and e-mail; keep the proof of delivery.
Fee
No stamp paper and no fee: plain paper or the letterhead is enough.
Good to know
- For misconduct, end the job only after a written charge, the employee's reply and a fair enquiry; follow any standing orders that apply.
- Larger establishments may need to give notice to, or take permission from, the government before retrenchment; ask a lawyer.
- Final dues are usually paid within the time the wage law sets; pay by bank transfer and keep the full-and-final statement signed by the employee.
- The law specially protects a woman on maternity leave; take advice before ending such a job.
Papers and fees can change. Check with the office before you go. Guidance only, not yet reviewed by a lawyer.
Stamp paper
Plain paper is enough; it is usually printed on the employer's letterhead, signed, and stamped with the business seal.