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Exit Letter To Employee for Malaysia

Exit Letter To Employee Template for Malaysia

An Exit Letter to Employee is a formal document used in Malaysia to officially communicate and document the termination of employment relationship between an employer and employee. Governed by Malaysian employment law, particularly the Employment Act 1955, this document confirms the termination details, including the effective date, final settlement information, and post-employment obligations. It serves as a crucial legal record that outlines the terms of separation, ensures compliance with local employment regulations, and helps protect both parties' interests by clearly stating the final arrangements and ongoing obligations.

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What is a Exit Letter To Employee?

The Exit Letter To Employee is a essential document in Malaysian employment practice, used when an employment relationship is terminated either through resignation, termination, or mutual agreement. This document complies with the Employment Act 1955 and other relevant Malaysian employment legislation, serving as an official record of the employment termination. It typically includes critical information such as the termination date, notice period details, final payment calculations, benefit arrangements, and post-employment obligations. The letter helps ensure a clear and compliant termination process, minimizes potential disputes, and provides both parties with documented evidence of the separation terms. It's particularly important in Malaysia where employment law requires clear documentation of employment termination and final settlements.

What sections should be included in a Exit Letter To Employee?

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

2. Subject Line: Clear indication that this is an exit letter/confirmation of employment termination

3. Confirmation of Termination: Statement confirming the termination of employment and the effective date

4. Notice Period: Details of notice period served or payment in lieu of notice

5. Final Settlement: Information about final salary, leave encashment, and other payments due

6. Company Property: List of company property to be returned and deadline for return

7. Confidentiality Reminder: Reminder of ongoing confidentiality obligations post-employment

8. Closure: Thank you message, contact information for queries, and signature block

What sections are optional to include in a Exit Letter To Employee?

1. Garden Leave: Include when employee is required to serve notice period away from office

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

3. Exit Interview: Include when an exit interview needs to be scheduled

4. Reference Policy: Include details about company policy on providing references

5. Benefits Continuation: Include when there are benefits that extend beyond termination date

6. Resignation Acceptance: Include when the exit is initiated by employee's resignation rather than termination

What schedules should be included in a Exit Letter To Employee?

1. Final Payment Breakdown: Detailed calculation of final payment including salary, leave encashment, and other benefits

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

3. Employee Clearance Form: Form listing all departments that need to provide clearance before final settlement

4. Benefits Summary: Summary of any benefits continuation or termination

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

Jurisdiction

Malaysia

Publisher

Ƶ

Document Type

Resignation Letter

Cost

Free to use
Relevant legal definitions




















Clauses




















Relevant Industries

Technology

Manufacturing

Financial Services

Retail

Healthcare

Education

Construction

Professional Services

Hospitality

Telecommunications

Energy

Transportation

Agriculture

Media and Entertainment

Real Estate

Relevant Teams

Human Resources

Legal

Compliance

Employee Relations

Finance

Payroll

Administration

Relevant Roles

HR Director

HR Manager

Legal Counsel

HR Business Partner

Compliance Officer

HR Executive

Legal Manager

Employee Relations Manager

HR Administrator

Recruitment Manager

Compensation and Benefits Manager

HR Operations Manager

Chief Human Resources Officer

Legal Director

Company Secretary

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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