The End of Term Letter is a crucial document in South African employment practice, typically used when a fixed-term employment contract reaches its natural conclusion. It serves multiple purposes: confirming the end date of employment, detailing final payment arrangements, outlining the return of company property, and addressing any post-employment obligations. This document must comply with South African labor laws, particularly the Labour Relations Act 66 of 1995 and the Basic Conditions of Employment Act 75 of 1997. The letter should be issued with sufficient notice before the term end date and should clearly reference the original employment contract. It provides legal protection for both parties by formally documenting the conclusion of the employment relationship and ensuring all necessary administrative and legal requirements are properly addressed.
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1. Letterhead and Date: Company letterhead, current date, and reference number if applicable
2. Recipient Details: Employee's full name, position, and address
3. Subject Line: Clear indication that this is an End of Term Letter
4. Confirmation of Term End: Statement confirming the end date of employment and reference to the original contract
5. Acknowledgment of Service: Recognition of the employee's service period and contributions
6. Final Payment Details: Overview of final salary, leave pay, and any other entitled payments
7. Company Property: List of company property to be returned and deadline for return
8. Closing Administrative Matters: Information about final procedures, such as exit interviews or clearance processes
1. Reference Letter Offer: Include when the company is willing to provide a reference letter
2. Handover Requirements: Include when specific handover of work, documents, or responsibilities is needed
3. Post-Employment Obligations: Include when reminding of continuing obligations like confidentiality or non-compete agreements
4. Future Opportunities: Include when leaving possibility open for future engagement
5. Certificate of Service: Include when providing or referencing a separate certificate of service
6. Benefits Continuation: Include when there are benefits that extend beyond the term end date
1. Schedule A - Final Payment Calculation: Detailed breakdown of final payment including salary, leave pay, and any other entitlements
2. Schedule B - Company Property Checklist: Itemized list of company property to be returned
3. Schedule C - Exit Checklist: List of administrative tasks to be completed before last day
4. Appendix 1 - Handover Document: Template or format for documenting handover of responsibilities
5. Appendix 2 - Reference Letter: Standard reference letter if applicable
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