A termination letter for poor performance is a formal written notice confirming an employer’s decision to end an employee’s employment because required performance standards have not been met. It should clearly communicate the decision, effective date, and relevant employment details without using insulting, accusatory, or unnecessarily emotional language.
Where appropriate, the letter may refer to documented performance concerns, previous discussions, written warnings, performance improvement plans, or other opportunities provided to address the problem. Any statements about an employee’s performance should be based on accurate employment records rather than assumptions or unsupported allegations.
The letter should also explain practical next steps that apply to the particular employment arrangement, such as the employee’s last working day, return of company property, final pay or benefits information, handover requirements, and the HR contact for questions. Avoid promising a particular payment, notice period, benefit, or termination procedure unless it has been verified against the employment agreement, company policy, and applicable requirements.
What should a poor-performance termination letter include?
Depending on the circumstances, the letter may include:
- employee name and position;
- date of the letter and effective termination date;
- a clear statement that employment is being terminated;
- a concise, factual explanation relating to performance;
- reference to previous performance discussions or corrective steps, where relevant;
- notice or final working arrangements, where applicable;
- instructions for returning company property or completing a handover;
- information about final pay, benefits, or other matters only when confirmed; and
- an HR or management contact for questions.
Employment termination requirements vary by jurisdiction, contract, workplace policy, and circumstances. Employers should verify the applicable process before issuing a termination letter, particularly where notice requirements, protected rights, disciplinary procedures, or contractual obligations may apply.
Other Samples
Termination letter for poor performance and attendance
Subject: Termination of Employment Due to Poor Performance
Dear [Employee Name],
This letter confirms the termination of your employment as [Job Title] with [Company Name], effective [Effective Date].
This decision follows our previous discussions regarding your performance in [briefly identify the documented performance area]. Despite [performance discussions/written warnings/performance improvement plan or other applicable steps], the required improvement has not been achieved within the expected period.
Your last working day will be [Date]. Please complete any required handover and return company property in your possession according to the instructions provided by [HR/Manager].
Information concerning final pay, benefits, and any other applicable employment matters will be provided in accordance with your employment terms, company policy, and applicable requirements.
If you have questions regarding the separation process, please contact [HR Contact/Department].
Sincerely,
[Name]
[Position]
[Company]
Sample #2 — Termination after a Performance Improvement Plan
Subject: Employment Termination Following Performance Improvement Plan
Dear [Employee Name],
This letter confirms that your employment with [Company Name] will end effective [Effective Date].
On [PIP Start Date], you were placed on a Performance Improvement Plan addressing [performance areas]. The plan identified the required standards, improvement period, and support or guidance available to help you meet those expectations.
Following review of your performance during the improvement period, the required standards in [specific documented areas] have not been achieved. We have therefore decided to terminate your employment.
Please work with [Manager/HR] to complete the required handover and return company property. HR will provide information concerning final pay, benefits, documentation, and other applicable separation arrangements.
For questions about the process, please contact [HR Contact].
Sincerely,
[Name]
[Position]
[Company]
Termination During/After Performance Review Period
Subject: Termination Following Performance Review
Dear [Employee Name],
Following the completion of your performance review for the period [Review Period], we are writing to confirm that your employment with [Company Name] will end effective [Effective Date].
During the review period, concerns were documented regarding [quality of work/productivity/targets/deadlines/other measurable requirement]. These concerns were discussed with you on [Date(s)], together with the performance standards expected for your role.
After reviewing the available performance records and the progress made during the review period, the required standard has not been achieved. The company has therefore decided to end your employment.
Please coordinate with [Manager/HR] regarding your final working arrangements, handover responsibilities, return of company property, and other separation requirements.
HR will separately confirm any applicable final pay, benefits, or employment documentation.
Sincerely,
[Name]
[Position]
[Company]
File: Word (.docx) 2007+ and iPad
Size 27 KB
