Layoff Letter due to Lack of Work | Word & Excel Templates

A layoff letter is a letter of termination in which the termination is not based on employee functionality or performance but completely on the company’s performance intrusion.

A layoff letter due to lack of work is written to the employees when there is not enough work compared to the number of employees working. For certain reasons, during a period of time, the number of contracts, clients, customers, or market share can go down, which can lead to a company or an organization facing a lack of work.

Lack of work might be due to many reasons, and it impacts the company’s working structure. When there is less profit and more employees to be paid, the company is at a loss. To avoid a situation like that, the company, in most cases, makes layoffs that can be either permanent or temporary, depending on the circumstances and quantity of lack of work faced by the company.

While making layoffs, there is a dire need to write an empathetic piece to inform the bad news. It is a very stressful experience for both employers and employees. The employer stresses that due to the circumstances faced by the company, he has to terminate some brilliant and competent minds. Employees stress out due to termination and sudden unemployment.

Two sample letters are given, one of which states that the company is making layoffs due to a lack of work.

Sample Letter -1

Re. Layoff due to Lack of Work

Dear Benjamin,

I regret to inform you that the company is making permanent layoffs due to a lack of work. The lockdown situation has affected the company’s clientage a lot. The company lost $40,000 due to the imbalanced situation created by more workers and less work.

In this situation, the company concluded that layoff is important for a company’s survival. To lessen the stress in your head, the company has decided to pay you next month’s salary, including fringe benefits. During this period, you can find other work to improve your livelihood. Due to the sudden fall in contracts and clientage and customers, we are compelled to do so. Viewing this situation, the number of creditors has also fallen short, and the loss would be in a few heads.

I am sure you will understand and respect the company’s decision. For more information, you are free to meet our Managing Director, Emily Ester, or write to the HR department at [Email].

Thank you.

Sincerely

Signature

File: Word (.docx) 2007+ and iPad
Size 18 Kb

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Sample Letter -2

Re. Temporary Layoff based on Lack of Work

Dear Aster,

I am Emily Joe, the General Manager from GHK Group of Companies. I have both bad and good news for you. The bad news is that you are being terminated because the company has decided to execute employee layoffs due to a lack of work.

Due to the prevailing pandemic situation and the lockdown implicated by most states to slow down the spread and hazardous impact of coronavirus, clientage, and purchasing have fallen short to a greater extent. In the wake of the above-mentioned situation, to avoid huge losses at the company’s end, the Director and the CEO have decided to execute employee layoffs, undoubtedly a decision impelled by the circumstances.

As we all know, this pandemic has exacerbated the permanent closure of businesses and workers’ layoffs. Our company, understanding things at the employees’ end, has decided to make this layoff temporary. Though the time period of this layoff is unknown, Mr. Siegal has assured us that the layoff is complete and temporary, effective from 20th April 20XX. Moreover, the HR manager of the company will email you to inform you about a small meeting with the CEO and Managing Director.

I hope you understand the situation and accept the company’s decision. To fulfill all the legal procedures, the company has addressed its lawyer, and the decision is made considering all legalities. For further information, you can reach us by calling [X] or writing to [Email].

Thanks for your cooperation.

Sincerely,

Signature

File: Word (.docx) 2007+ and iPad
Size 20 Kb

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