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Formal Letter Of Termination Template for Philippines

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Key Requirements PROMPT example:

Formal Letter Of Termination

"I need a Formal Letter of Termination for a senior software developer in our Manila office, effective March 15, 2025, due to redundancy following our department restructuring, ensuring compliance with Philippine labor laws and including details about the severance package."

What is a Formal Letter Of Termination?

The Formal Letter of Termination is a essential document used in the Philippines when an employer needs to officially end an employment relationship. It must be drafted in strict compliance with the Labor Code of the Philippines, particularly Articles 297-299, and relevant DOLE regulations. The document is required whether the termination is for just cause, authorized cause, or end of contract, and must include specific elements such as the grounds for termination, effective date, and final pay details. This formal communication serves multiple purposes: it provides clear documentation of the termination decision, ensures legal compliance with Philippine labor laws, protects both employer and employee rights, and helps prevent future disputes. The letter should be drafted with careful attention to both legal requirements and professional courtesy, as it may be scrutinized in legal proceedings if the termination is contested.

What sections should be included in a Formal Letter Of Termination?

1. Letter Header: Company letterhead, date, and formal addressing of the employee including their full name, position, and department

2. Subject Line: Clear indication that this is a notice of employment termination

3. Opening Statement: Direct statement of the purpose of the letter - notification of employment termination

4. Grounds for Termination: Clear explanation of the specific reason(s) for termination, citing relevant company policies or legal provisions

5. Effective Date: Explicit statement of the last day of employment

6. Final Pay Details: Information about final salary, benefits, and other compensation due

7. Company Property: List of company properties to be returned and the process for doing so

8. Closing Statement: Professional closing that includes contact information for HR-related questions

9. Signature Block: Space for authorized signatory's name, title, and signature

What sections are optional to include in a Formal Letter Of Termination?

1. Severance Package Details: Include when termination includes a severance package, detailing the components and terms

2. Non-Compete Reminder: Include when employee is bound by existing non-compete agreements

3. Certificate of Employment: Mention of availability and process to obtain certificate of employment

4. Transition Plan: Include when employee needs to handle knowledge transfer or complete pending tasks

5. Exit Interview: Include when company policy requires an exit interview

6. Benefits Continuation: Include details about post-employment benefits if applicable

7. Legal Rights Notice: Include when required by specific circumstances or when termination is due to redundancy/retrenchment

What schedules should be included in a Formal Letter Of Termination?

1. Computation of Final Pay: Detailed breakdown of final salary, benefits, deductions, and other monetary considerations

2. Company Property Checklist: Itemized list of company assets to be returned

3. Clearance Form: Standard company clearance form listing all departments that need to sign off

4. Exit Process Checklist: Step-by-step guide of actions required 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 | Serial Founder & Legal AI Author

Relevant legal definitions

























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Relevant Industries

Banking and Financial Services

Information Technology

Manufacturing

Retail

Healthcare

Education

Construction

Business Process Outsourcing

Telecommunications

Hospitality

Mining

Agriculture

Transportation

Real Estate

Professional Services

Relevant Teams

Human Resources

Legal

Compliance

Employee Relations

Management

Administration

Corporate Services

Industrial Relations

Relevant Roles

HR Manager

HR Director

Legal Counsel

Department Manager

Line Manager

Supervisor

HR Business Partner

Chief Human Resources Officer

Employee Relations Manager

Legal Manager

Compliance Officer

HR Administrator

HR Specialist

Department Head

General Manager

Industries







Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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