Offer Letters and NDAs: Do They Need to Include Contractual Details? Seeking Guidance from Industry Veterans

I would like to understand if an offer letter has to include an NDA as well as employment contractual clauses in it. I have come to understand that there is a system that the employment giants such as Capgemini do include such details, and having these protects the best interests of the employer. Could the seniors in the industry kindly guide me?

Regards,
Parikshit

Dear Parikshit, Before giving a reply to your query, I need to provide clarification on the difference between an Offer Letter and an Appointment Letter. Once the employer is satisfied with the candidate's profile, the Offer Letter is given to the employee. This letter includes basic details such as the designation, salary breakdown, date of joining, etc. However, the utility of this letter ceases to exist once the candidate joins the company.

When the job candidate joins the company, they become an employee and require a letter that outlines the terms of employment. This letter is known as the Appointment Letter.

It seems that you are referring to the Appointment Letter and not the Offer Letter. Yes, provisions regarding non-disclosure of information can be included in the Appointment Letter. Regarding your second query on "employment contractual clauses," please clarify what information you would like to include under those clauses.

Thanks,
Dinesh Divekar

Dear Parikshit, if you have enough time to go through many threads on this site that end up questioning the exit procedure on the foreclosure of the contract of employment by newly appointed employees, you will find many complaints about the discrepancy between the offer letter and the subsequent appointment order regarding such conditions. In fact, the offer letter is the original document containing the actual conditions of the contract of employment that gives the prospective appointee sufficient time to consider the offer of appointment before actually joining. Therefore, if the condition of NDA you mentioned is genuine in relation to the nature of the position offered, it should certainly be mentioned in the offer letter itself.

Dear Parikshit,

There is nothing wrong in mentioning the NDA requirement as the body content or annexure in the offer letter. It is a standard practice in many industries to inform the offered candidate formally about the requirements to fulfill on the date of joining and during induction/probation.

I am sharing a specimen copy for you to refer to.