Understanding Offer Letters vs. Appointment Letters: Is There Always a Probation Period?

What is the difference between an offer letter and an appointment letter? If we have an appointment letter, is there any probation period? Thanks.

It's very simple. You don't need to be an expert, just common sense will do. An Offer Letter is essentially "Offering the Job"; it is up to the candidate to accept the offer and join your organization. It typically includes details about the position and CTC. An "Appointment Letter" is issued when the person joins the organization. It is essential to mention the probation period in both the offer as well as the appointment letter.

These days, most companies provide only "appointment letters."

Regards,
Sanjeev Sharma
(Blog: http://sanjeevhimachali.blogspot.com/)

Hi Manju,

An offer letter typically conveys the Company's interest in the candidate - Level/Title, the gist of Salary & Benefits, and the date by which the employee is expected to join. An offer letter is usually a one or two-page document.

An Employment Letter typically is the next-level document wherein more details of the service conditions (including probation period), elaboration of the key policies (e.g., leave, medical), Integrity & Discipline, Benefits, etc., are mentioned.

The Employment letter is issued when the candidate joins the organization.

Hope this helps.

Cheers!
Rajesh

Hi,

In my opinion, the difference between these two is as follows:

An offer letter includes the job invitation along with the required documents for joining on the first day and the CTC.

On the other hand, an Appointment Letter includes all the terms and conditions of the services, such as CTC, Probation Period, etc.

Regards,
Abhishek

Hi,

Per my understanding, an Offer Letter is a formal document that depicts the company's interest in an individual. It also outlines the compensation and agreed-upon date of joining (DOJ). To restate this, an Offer Letter is essentially a summarized Appointment Letter.

The Appointment Letter is a formal document that highlights the components mentioned in the Offer Letter and also includes an overview of the company's policies. It's important to note that receiving an Appointment Letter does not necessarily mean that the individual will be on probation. If the company does have a probation period, it will be clearly indicated in the Appointment Letter, along with details such as the duration of the probation period and the norms for confirmation.

Regards,
Veena Jain

Dear Manju,

An offer letter typically includes details such as the date of joining, reporting authority, and terms and conditions. However, the salary specifics are not detailed in the offer letter. The appointment letter, on the other hand, is a comprehensive document that outlines the salary and all its components like HRA, CCA, TA, etc. These specific details need not be mentioned in the offer letter.

Regards,
Gitanjali

Dear Manju,

Put simply, an Offer Letter states the company's intention to "offer" a specific position at a particular grade and salary level to the prospective employee. It includes a clause that if the prospect accepts the offer, they must join by a specified date.

On the other hand, an appointment letter is a formal contract of employment mutually agreed upon by the company and the employee. It outlines most terms of employment and contract details, such as designation, CTC (including its breakdown), major policies, roles, and responsibilities.

While an offer letter holds no legal standing, an appointment letter carries legal authority. Any discrepancies between the terms stated in the appointment letter and the actual occurrence can be legally contested in a court of law or labor dispute.

I hope this clarifies your doubt.

Samba.

Hi Everyone!

Though the issue has been discussed quite fairly and doesn't need any further clarification, let me summarize all the discussion. As a candidate gets finalized by the organization, they are communicated a proper response stating the position, location, grade, compensation, and benefits, etc., by the company. Once the candidate accepts the offer, they are given the official appointment letter stating all the above along with the rest of the terms and conditions of employment. As far as probation is concerned, it has nothing to do with the offer and/or appointment letter. Probation is a different topic that may or may not be discussed in the offer letter, but it is definitely a part of the appointment letter.

Regards, Sultan Mughal Manager, Human Resources Wazir Ali Industries Limited +92-333-4431122 Contact: [Login to view] [Login to view] [Login to view] [Login to view]

Hi,

When an organization gives an offer letter to a candidate, it means the organization has selected the candidate. Now, the candidate can accept or refuse the offer. The offer letter includes the position, grade, salary, and location, etc.

An appointment letter is issued by the organization when the candidate joins the organization. It includes terms of employment such as probation, salary structure, job responsibilities (sometimes), agreements (if any), leave rules, discipline rules, termination rules, and other terms and conditions, etc.

Aashit Srivastava