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1. Opening and Addressing: Formal letter opening including date, employee's name and address
2. Confirmation of Termination: Clear statement of employment termination, including effective date and reference to prior discussions
3. Reason for Separation: Brief explanation of the circumstances leading to termination (e.g., redundancy, mutual agreement)
4. Final Payment Details: Breakdown of final payment including salary, notice period, accrued leave, and any special payments
5. Company Property: Requirements for returning company property and timeline
6. Confidentiality Obligations: Reminder of ongoing confidentiality obligations
7. Reference and Communications: Details about providing references and agreed communication about departure
8. Tax Treatment: Statement about tax treatment of payments
9. Full and Final Settlement: Confirmation that payment represents full and final settlement
10. Closing and Signature: Formal closing, signature blocks for both parties
1. Garden Leave: Include when employee is placed on garden leave during notice period
2. Post-Employment Restrictions: Include when reminding of existing non-compete or non-solicitation obligations
3. Outplacement Support: Include when company is offering career transition services
4. Health Insurance Extension: Include when continuing health benefits beyond termination
5. Share Options/Long-Term Incentives: Include when addressing treatment of existing equity arrangements
6. Acknowledgment of Separate Settlement Agreement: Include when severance letter accompanies a formal settlement agreement
1. Schedule A - Payment Calculation: Detailed breakdown of all payment components including statutory entitlements
2. Schedule B - Company Property List: Itemized list of company property to be returned
3. Schedule C - Benefit Continuation Details: If applicable, specifics of any continued benefits and their duration
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A New Zealand-governed agreement that sets out the terms and conditions for ending an employment relationship, including severance payments and mutual obligations.
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