The Contract Renewal Letter is a crucial document in Philippine employment practice, typically used when an existing fixed-term or regular employment contract needs to be extended. It must comply with the Labor Code of the Philippines, the Security of Tenure Law, and relevant DOLE regulations. This document is particularly important in industries where fixed-term contracts are common, such as project-based work or seasonal employment. The letter should clearly reference the original contract, specify the renewal period, outline any modifications to terms and conditions, and ensure all changes comply with current labor laws. It serves as a legally binding document that protects both employer and employee interests while maintaining clear documentation of the employment relationship's continuation.
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1. Letter Header and Date: Company letterhead, current date, and reference number if applicable
2. Recipient Details: Employee's complete name and address
3. Subject Line: Clear indication that this is a contract renewal letter
4. Original Contract Reference: Details of the original contract including date, position, and current terms
5. Renewal Statement: Clear statement of intent to renew the contract and the renewal period
6. Key Terms Confirmation: Confirmation of continuing terms and conditions, including position and compensation
7. Signature Blocks: Space for both employer and employee signatures to document mutual agreement
1. Terms Modification: Section detailing any changes to the original contract terms, used when terms are being updated
2. Performance Recognition: Optional section acknowledging employee's performance, used when renewal includes recognition of service
3. Compliance Statement: Reference to relevant labor laws and regulations, used in more formal versions or when required by company policy
4. Deadline for Acceptance: Specification of response deadline, used when a timely response is required
5. Benefits Summary: Overview of benefits package, used when benefits are being modified or need emphasis
1. Updated Compensation Details: Detailed breakdown of salary and other monetary benefits if changes are being made
2. Updated Job Description: If the role has evolved while maintaining the same position
3. Performance Metrics: If renewal is tied to specific performance indicators or targets
Relevant legal definitions
Clauses
Relevant Industries
Banking and Financial Services
Information Technology
Manufacturing
Retail
Healthcare
Education
Business Process Outsourcing
Construction
Hospitality
Telecommunications
Professional Services
Transportation and Logistics
Relevant Teams
Human Resources
Legal
Operations
Administration
Compliance
Executive Leadership
Finance
Management
Relevant Roles
HR Manager
Legal Counsel
Department Head
Project Manager
Operations Manager
Administrative Officer
Compliance Officer
HR Director
Managing Director
Chief Executive Officer
Department Supervisor
Contract Administrator
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