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Severance Letter

Severance Letter Template for Belgium

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Key Requirements PROMPT example:

Severance Letter

"I need a Severance Letter for a senior IT manager with 12 years of service, including terms for immediate termination with payment in lieu of notice, variable bonus treatment, and company car arrangements, effective March 15, 2025."

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Document background
The Severance Letter is a crucial document in Belgian employment law, used when terminating an employment relationship either with notice or immediate effect with payment in lieu of notice. It serves as an official record of the termination terms and ensures compliance with Belgian employment legislation, including the Act on Employment Contracts and various collective bargaining agreements. The document is essential for properly documenting the termination process, outlining financial entitlements, and ensuring all legal obligations are met. It typically includes specific calculations for severance pay based on seniority, details about notice periods, treatment of benefits, and any additional obligations such as outplacement services. The Severance Letter must be carefully drafted to avoid potential legal challenges and ensure all aspects of Belgian employment termination law are properly addressed.
Suggested Sections

1. Employer Details: Full legal name and address of the employing company

2. Employee Details: Full name and address of the employee

3. Date: Date of the letter issuance

4. Subject Line: Clear indication that this is a termination/severance letter

5. Confirmation of Termination: Clear statement of employment termination and effective date

6. Notice Period: Details of notice period or payment in lieu of notice

7. Severance Payment: Breakdown of severance payment calculation and total amount

8. Final Salary and Benefits: Information about final salary payment and treatment of benefits

9. Company Property: Requirements for returning company property

10. Closing Statement: Formal closing including reference to enclosed documents and contact information for queries

11. Signature Block: Space for employer's authorized representative signature and title

Optional Sections

1. Garden Leave: Include when employee is being placed on garden leave during notice period

2. Non-Compete Reminder: Include when employee is bound by existing non-compete clauses

3. Outplacement Services: Include when company is offering outplacement support (mandatory for certain categories under Belgian law)

4. Settlement Agreement Reference: Include when termination is part of a mutual agreement or settlement

5. Performance Bonus/Commission: Include when addressing outstanding variable compensation

6. Share Options/LTIP: Include when employee participates in share schemes or long-term incentive plans

Suggested Schedules

1. Severance Calculation Sheet: Detailed breakdown of severance pay calculation including years of service, salary components, and applicable multipliers

2. Benefits Summary: List of benefits and their treatment post-termination

3. Final Settlement Statement: Detailed breakdown of all final payments including salary, holiday pay, and other entitlements

4. Property Return Checklist: List of company property to be returned

5. Outplacement Services Details: Information about outplacement support if applicable

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Linkedin in social icon imageX social icon image
alex.den.21@genieai.co
Relevant Industries

Banking and Financial Services

Technology

Manufacturing

Retail

Professional Services

Healthcare

Education

Construction

Telecommunications

Energy

Transportation and Logistics

Media and Entertainment

Public Sector

Non-Profit Organizations

Pharmaceutical

Consumer Goods

Real Estate

Relevant Teams

Human Resources

Legal

Finance

Executive Leadership

Operations

Administration

Compliance

Employee Relations

Payroll

Relevant Roles

Chief Executive Officer

Chief Financial Officer

Managing Director

HR Director

Legal Counsel

Department Manager

Senior Manager

Project Manager

Account Manager

Software Developer

Sales Representative

Administrative Assistant

Operations Manager

Financial Analyst

Marketing Manager

Research Scientist

Production Supervisor

Customer Service Representative

Industries
Act of 3 July 1978 on Employment Contracts: The fundamental Belgian law governing employment relationships, including termination conditions and general framework for severance payments
Status of Unified Employment Law of 2014: Reformed legislation that harmonized blue-collar and white-collar notice periods and established new calculation methods for severance pay
Collective Labour Agreement No. 109: Regulations regarding the obligation to state concrete reasons for dismissal and the right of the employee to request these reasons
Belgian Anti-Discrimination Laws (May 2007): Ensures termination cannot be based on discriminatory grounds such as age, gender, religion, or disability
Act on Protection of Remuneration: Governs the final settlement of wages, benefits, and other compensation elements in the severance package
National Collective Bargaining Agreements: Sector-specific agreements that might contain additional requirements for severance terms and conditions
Social Security Legislation: Regulations regarding social security contributions and tax treatment of severance payments
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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