Need Help with Writing a Termination Letter Due to Cost-Cutting?

Hi!

Could anybody provide me with the format of a termination letter due to cost-cutting?

Regards,
Jyo
:icon1:

Hi Jyoti,

Could you tell me the reason for which you want to issue the termination letter?

Regards,
Basant

Hi Basant,

Could you please tell me the reason for which you want to issue the termination letter?

Regards,
Basant

Hi Basant,

Actually, there are two reasons:
1) Cost Cutting
2) Non-performance of the employee

His performance has not been good since he started working with our organization. Now, we need to terminate him due to cost-cutting reasons.

Regards,
Jyoti :icon1:

Hi All,

Greetings for the day.

When you guys have planned to terminate any employee, either for poor performance, cost-cutting, or no call no-show, first discuss with the employee about the situation and make them understand. Then ask them to submit a resignation letter instead of issuing a termination letter to the employee. We must consider the employee's career and not play with it for the employer's benefits. Therefore, I appreciate not terminating any employee from any organization. Ensure that the employee voluntarily submits a resignation letter.

Cheers,
Satya Penubothu

Hi Jyothi,

I strongly support Satya.

Being in HR, we should understand the circumstances on either side, employee as well as employer.

Termination is given only when the situation is at its worst.

When it comes to poor performance or cost-cutting situations, HR plays a role as a liaison between management and employees.

HR should ensure that employees understand the situation and resign from their jobs.

This is where the true skill of HR shines.

Thanks & Regards, N.L.N Swamy. 🙂

Here, I also agree with Satya Penubothu because before issuing a termination letter, many controversies will arise.

Madhukar

Hi Jyoti,

As an HR professional, you should discuss the situation with the particular employee. Find out where they are lacking, whether they need any training to improve themselves, and give them one more chance to prove themselves. If they fail to do so, then you can proceed with the termination procedure because you have already given them enough opportunities. Below is a termination letter format.

Regards,
Anupama

Hi,

I do agree with Satya P., as an HR Manager. Our role should be to liaise between the Management and the employees if such a situation arises. I humbly request all HR personnel not to entertain termination if the question of cost-cutting arises, as there are many more ways in which an employer can achieve this.

Don't entertain employee termination except in the case of a criminal offense, if applicable.

Shahida R.
HR Manager.

Hi All,

I hope you are familiar with the process at Jet Airways. They have issued around 800 pink slips, and every third day, they have been taking back the employees. If this is happening for the sake of tax exemption or any other reasons, it is acceptable to terminate or issue the pink slip.

If not, I sincerely request all Human Resources individuals (from Coordinator to VP HR) not to enforce employee termination unless there is a valid reason. Even in such cases, kindly obtain a resignation letter from the employee.

Cheers,
Satya Penubothu
Deputy General Manager - Human Resources

I want to write a termination letter to my project delivery manager for a lack of productivity at work. He joined one month ago, and according to the company policy, the first three months serve as the probation period, with a 15-day notice period within that time frame. If the employee is not performing well, the company has the right to terminate their employment. Similarly, if the employee is not satisfied with the company, they can also choose to leave.

Please help me with the proper format.