Letter of Appoinment
Letter of Appoinment
We are pleased to offer you employment in the position of Business Development Executive This appointment is subject to the following terms and conditions:
1. BASE SALARY
Your starting salary is ... (state amount) per month. 2. ALLOWANCES May include cost of living allowance, hazards allowance, housing allowance, entertainment allowance, etc. Example: You are entitled to ... (state type) allowance of ... (state amount) per month.
3. PROBATION
The probation period is the length of time given to the employee to learn about the job. Legislation may impose the length of the probationary period. This is the norm found in every sample appointment letter. Example: You are required to serve a probationary period of ... (state period in weeks) after which your service will be confirmed subject to satisfactory performance. The probationaryperiod may be extended or shortened at the absolute discretion of the Company. During the probationary period, the appointmentmay be terminated by either party giving ... (state period in weeks) notice in writing to the other party or on payment of one (1) month salary in lieu of notice.
5. WORKING HOURS
This is where the details of the working hours and lunchtime / rest are stated. Different sample appointment letter puts it differently. The aim is the same. Example: "Monday to Friday: 8.00 a.m. to 5.00 p.m. Lunch time: 12.00 noon to 1.00 p.m. Two (2) tea breaks of 15 minutes each.
The Company reserves the right to change your working days and hours." (Note that the working hours for shift workers are different.)
6. ANNUAL LEAVE/HOLIDAYS
This states the number of days given to employees and the number of public holidays observed by the Company. The number of days of annual leave is subject to a minimum for certain groups of employees as provided for under legislation. There are also public holidays that organizations are required to observe. If possible, request for sample appointment letter from other organizations so that you can verify the figures. Example: You are entitled to ... (state number of days) annual leave in addition to ... (state number of days)gazetted holidays observed by the Company."
7. TRANSFER/SECONDMENT
Here, you reserve the right to transfer or second employees. Example: You are subject to transfer or secondment to any place where the Company has an office or when required in the course of performing your duties.
8. MEDICAL / SURGICAL
This is where you state the details of medical and / or surgical expenses your organization iswilling to pay for. You may want to specify the maximum amount. It can be for a year or per visit. 9. PROVIDENT FUND This states the contribution to Employees Provident Fund (if any). Legislation may provide for this. 10. GROUP PERSONAL ACCIDENT INSURANCE (GPA) This may be a rider on group life insurance or has a a rider on "hospitalization and surgical". 11. RULES, REGULATIONS & CONFIDENTIALITY It is important to state this especially when your organization has no written disciplinary rules and procedures. Sample appointment letters will help. Example: "You shall at all times, devote your full attention and skill to the affairs of the Company and will endeavor to your utmost ability to promote and advance the interests of the Company. Accordingly, you undertake that: 1. you will under no circumstances make available your services to any undertaking, or have any interest directly or indirectly in any other undertaking or activity which might interfere with the proper performance of your duties without first obtaining the written permission of the Company; 2. you will not at any time during the continuance or after the termination of your services with the Company irrespective of any reason for such termination, make use or disclose to any party either for your own benefit or
for the benefit of any party (individual, firm, company, any trade or business), the affairs and confidential information of the Company or any of its related companies of which you have knowledge or become aware during the course of your service with the Company; 3. you will obey and comply with all reasonable orders and instructions given to you by the Company or its authorized agents and observe all standing and other rules and/or regulations now in force or from time to time approved by the Company. Sub-paragraph 2 may specify that information available in the public domain is excluded.
12. TERMINATION
This is an important provision. Most if not all appointment letters contain this term. Example: "After confirmation of your employment, notice of termination of employment will be three (3) months notice in writing or three (3) months salary in lieu of notice from either party. Notwithstanding the aforementioned, the Company shall be entitled to terminate your employment without notice, indemnities and compensation in any of the following events: i) if you are, in the opinion of the Company, guilty of dishonesty, misconduct or negligence in the performance of your duties; ii) if you have been found to have committed a serious breach or continual material breach of any of your duties or obligations; iii) if you are found to have made illegal monetary profit or received any gratuities or other rewards, in cash or in kind, out of any of the Companys affairs or any of its subsidiaries or related companies."
13. RETIREMENT
In the public sector, the compulsory retirement age is imposed by legislation. Other organizations have the option of using such retirement age or any other age subject to legal provisions, if any. Example: The retiring age is at fifty-five (55) years.
In the absence of evidence of the exact date of birth the employee shall retire on 31st December of the year the employee attains fifty-five years of age. You can include this in the appointment letter. (Note: The retirement age may differ from country to country, from organization to organization and whether you are working in the public or private sector.)
**If you find that the terms are favorable, please indicate your acceptance within thirty (30) from the date of this letter.
This offer will automatically lapse and can no longer be accepted if we do not hear from you by the stipulated date.** Thank you. Yours sincerely, for and on behalf of ... (Name of organization)