The Increment Letter To Employee is a crucial document in Canadian employment relationships, used when an employer wishes to formally document and communicate a salary increase or compensation adjustment to an employee. This document is typically issued following performance reviews, promotions, annual salary reviews, or other situations warranting a compensation adjustment. The letter serves multiple purposes: it officially documents the salary change for both parties' records, ensures compliance with Canadian employment standards and tax regulations, and provides clear communication about the new terms of compensation. The document should be crafted in accordance with both federal and provincial employment laws, maintaining professional standards while clearly outlining all relevant details of the increment, including effective dates, specific amounts, and any conditions attached to the increase.

1. Letter Header: Company letterhead, date, and employee's contact details

2. Subject Line: Clear indication that this is a salary increment letter

3. Salutation: Professional greeting addressing the employee by name

4. Opening Paragraph: Reference to employment duration and acknowledgment of performance

5. Increment Details: Specific details about the salary increase, including old and new salary, percentage increase, and effective date

6. Implementation Date: Clear statement of when the new salary will take effect

7. Gratitude and Future: Expression of appreciation and expectations for continued contribution

8. Closing: Formal closing with signature block for authorized representative