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Letter Of Termination Due To Poor Performance Template for Malaysia

A formal employment termination letter used in Malaysia that documents the cessation of employment due to unsatisfactory performance. The document complies with Malaysian employment law, particularly the Employment Act 1955 and Industrial Relations Act 1967, and includes detailed references to performance issues, previous warnings, and improvement attempts. It outlines the notice period, final payment calculations, and post-employment obligations while ensuring procedural fairness and proper documentation to minimize the risk of unfair dismissal claims.

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What is a Letter Of Termination Due To Poor Performance?

The Letter Of Termination Due To Poor Performance is a crucial document in Malaysian employment relations, used when an employer needs to formally end an employment relationship due to documented performance deficiencies. It should only be issued after proper performance management procedures have been followed, including formal warnings and opportunities for improvement, in accordance with Malaysian employment law. The document serves as the final step in the performance management process and must include specific details about performance issues, reference previous warnings, outline the notice period and final payments, and specify any post-employment obligations. This formal communication helps protect the employer from potential unfair dismissal claims while ensuring compliance with the Employment Act 1955 and related Malaysian employment legislation.

What sections should be included in a Letter Of Termination Due To Poor Performance?

1. Letter Header: Company letterhead, date, reference number, and addressee details

2. Subject Line: Clear indication that this is a termination letter

3. Opening Statement: Direct statement of termination decision and effective date

4. Performance Issues: Summary of specific performance issues and failures to meet required standards

5. Previous Interventions: Reference to previous warnings, performance improvement plans, and opportunities given

6. Legal Basis: Citation of relevant employment contract clauses and legal grounds for termination

7. Termination Details: Notice period or payment in lieu of notice, final salary, and benefits calculation

8. Company Property: Instructions for returning company property and handling confidential information

9. Final Instructions: Process for handover of duties and exit procedures

10. Closing: Formal closing and signature block

What sections are optional to include in a Letter Of Termination Due To Poor Performance?

1. Gardening Leave: Include when employee is to be placed on garden leave during notice period

2. Post-Employment Restrictions: Reminder of non-compete, non-solicitation clauses if applicable

3. Reference Policy: Statement about company's policy on providing future references

4. Outplacement Support: Details of any career transition support being offered

5. Appeal Rights: Information about internal appeal process if company policy allows this

What schedules should be included in a Letter Of Termination Due To Poor Performance?

1. Performance Review Records: Copies of relevant performance evaluations and assessments

2. Warning Letters: Copies of previous warning letters issued

3. Performance Improvement Plan: Documentation of PIP and progress reports

4. Benefits Calculation Sheet: Detailed calculation of final payment including salary, benefits, and any deductions

5. Exit Checklist: List of items to be completed before last day of employment

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Jurisdiction

Malaysia

Publisher

Ƶ

Cost

Free to use

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