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Termination Of Contract Letter To Employee Template for Malaysia

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Key Requirements PROMPT example:

Termination Of Contract Letter To Employee

"I need a Termination of Contract Letter to Employee for a software developer in our Kuala Lumpur office, with a standard 30-day notice period starting from March 15, 2025, including clauses for the return of company laptop and project documentation."

Document background
The Termination Of Contract Letter To Employee is a crucial document in Malaysian employment relations, governed by the Employment Act 1955 and related employment legislation. It is used when an employer needs to formally terminate an employment relationship, whether due to performance issues, redundancy, or other legitimate business reasons. The document must comply with Malaysian statutory requirements regarding notice periods, termination benefits, and procedural fairness. It serves multiple purposes: providing written notice of termination, documenting the terms of separation, outlining final payments and benefits, and protecting the employer's interests regarding confidentiality and company property. The letter should be drafted with careful consideration of both statutory requirements and the specific terms of the individual's employment contract to ensure legal compliance and minimize the risk of unfair dismissal claims.
Suggested Sections

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

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

3. Termination Notice: Clear statement of employment termination with effective date

4. Notice Period: Specification of notice period as per employment contract and Employment Act 1955

5. Final Payment Details: Information about salary, unused leave, and other statutory payments

6. Handover Requirements: Instructions for handover of work responsibilities

7. Return of Company Property: List of company property to be returned

8. Final Clearance Process: Steps to complete the exit process

9. Acknowledgment: Space for employee signature acknowledging receipt

Optional Sections

1. Reason for Termination: Include only if legally required or if termination is performance-based and properly documented

2. Garden Leave: Include if employee is placed on garden leave during notice period

3. Non-Compete Reminder: Include if employment contract contained non-compete clauses

4. Reference Offer: Include if company is willing to provide employment references

5. Continuation of Benefits: Include if certain benefits continue post-termination

6. Outplacement Support: Include if company is offering career transition assistance

7. Confidentiality Reminder: Include if employment involved access to sensitive information

Suggested Schedules

1. Schedule A - Final Payment Calculation: Detailed breakdown of final payment including basic salary, prorated bonus, and statutory payments

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

3. Schedule C - Outstanding Benefits Statement: Statement of any outstanding benefits or claims

4. Appendix 1 - Exit Clearance Form: Form for obtaining clearance from various departments

5. Appendix 2 - Statutory Benefits Summary: Summary of statutory benefits under Malaysian law

Authors

Alex Denne

Head of Growth (Open Source Law) @ ¶¶Òõ¶ÌÊÓÆµ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions


















Clauses




















Relevant Industries

Banking & Financial Services

Manufacturing

Technology

Retail

Healthcare

Education

Construction

Professional Services

Hospitality

Telecommunications

Energy

Transportation & Logistics

Real Estate

Media & Entertainment

Agriculture

Mining & Resources

Relevant Teams

Human Resources

Legal

Compliance

Employee Relations

Operations

Administration

Management

Executive Leadership

Relevant Roles

Human Resources Director

HR Manager

Legal Counsel

Employment Lawyer

HR Business Partner

HR Administrator

Compliance Officer

Employee Relations Manager

HR Operations Manager

General Manager

Operations Director

Department Head

Line Manager

Business Unit Manager

Managing Director

Chief Executive Officer

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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