A Company Separation Letter serves as the primary documentation when terminating an employment relationship in England and Wales. This document is typically used when an employer needs to formally communicate the end of employment, whether through resignation, redundancy, or other circumstances. The letter should comply with UK employment legislation and typically includes essential information such as termination date, notice period arrangements, final payment details, and ongoing obligations. It provides legal protection for both parties and ensures clear communication of all separation terms.
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1. Employee Details: Full name, position title, and employment identification details of the departing employee
2. Termination Details: Specific details about the termination date, notice period, and whether notice is being worked or paid in lieu
3. Final Payment Information: Comprehensive breakdown of final salary, accrued holiday pay, benefits, and any other outstanding payments
4. Company Property: List of company property to be returned and deadline for return
5. Continuing Obligations: Reminder of ongoing obligations such as confidentiality and intellectual property rights
1. Garden Leave Arrangements: Details of garden leave terms and conditions, if employee is being placed on garden leave during notice period
2. Reference Provisions: Terms regarding future employment references and agreed format of references
3. Post-Employment Restrictions: Reminder and details of any post-employment restrictive covenants from the employment contract
4. Settlement Terms: Any additional payments or arrangements agreed as part of a settlement agreement
1. Schedule 1 - Company Property Checklist: Detailed list of company property to be returned including IT equipment, security passes, and documents
2. Schedule 2 - Benefits Summary: Summary of benefit termination dates and any conversion options available post-employment
3. Schedule 3 - Final Payment Calculation: Detailed breakdown of final payment including salary, holiday pay, and any other entitlements
4. Appendix A - Acknowledgment Form: Form for employee to sign acknowledging receipt and understanding of the separation letter
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