Soft Termination Letter for Singapore

Soft Termination Letter Template for Singapore

A Soft Termination Letter is a formal document used in Singapore to initiate the termination of employment in a professional and considerate manner. It follows Singapore's Employment Act requirements while maintaining a supportive and diplomatic tone. The document balances legal compliance with empathetic communication, typically used in situations where the termination is due to organizational changes rather than performance issues.

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What is a Soft Termination Letter?

The Soft Termination Letter serves as a crucial document in Singapore's employment landscape, used when organizations need to end employment relationships while maintaining professional relationships and minimizing potential conflicts. The document must comply with Singapore's Employment Act and related legislation while preserving the dignity of the affected employee. It typically includes details about notice periods, final settlements, and transition arrangements, written in a tone that acknowledges the employee's contributions and provides support for their transition. This approach is particularly important in Singapore's business culture, which values harmony and professional courtesy.

What sections should be included in a Soft Termination Letter?

1. Date and Address Block: Formal letter heading with date, recipient's name, designation and address

2. Subject Line: Clear indication of letter's purpose using appropriate terminology (e.g., 'Re: Conclusion of Employment')

3. Acknowledgment of Service: Recognition of employee's contribution, tenure, and positive aspects of their employment

4. Reason for Termination: Professional and clear explanation of circumstances leading to termination, aligned with Employment Act requirements

5. Notice Period: Statement of notice period, last working day, and any garden leave arrangements

6. Handover Requirements: Specific instructions for knowledge transfer, ongoing projects, and role transition

7. Final Payments: Overview of final salary, unused leave, and other entitled payments

8. Closing: Professional closing with signature block and company details

What sections are optional to include in a Soft Termination Letter?

1. Support Offerings: Optional section detailing career transition support or counseling services when provided by the company

2. Reference Provision: Section offering reference letter or future references when company policy allows

3. Outplacement Services: Details of career transition assistance programs when available

4. Non-Compete Reminder: Reminder of existing non-compete obligations when applicable under employment contract

5. Confidentiality Obligations: Reminder of ongoing confidentiality obligations when relevant to the role

What schedules should be included in a Soft Termination Letter?

1. Benefits Summary Schedule: Detailed breakdown of final payments, benefits, and entitlements

2. Handover Checklist: Comprehensive list of tasks, projects, and responsibilities to be transferred

3. Exit Procedures: Document outlining company exit process, including return of company property and system access termination

4. Final Settlement Calculation: Detailed calculation of all final payments including pro-rated bonuses and leave encashment

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

Jurisdiction

Singapore

Publisher

Genie AI

Document Type

Termination Letter

Cost

Free to use
Industries

Employment Act (Chapter 91): Primary legislation governing basic employment terms, working conditions, termination notice periods, and termination procedures in Singapore

Employment Claims Act 2016: Legislation covering dispute resolution mechanisms and procedures for handling employment-related claims arising from termination

Tripartite Guidelines on Fair Employment Practices: Non-binding guidelines providing best practices for managing termination and ensuring fair employment procedures in Singapore

Personal Data Protection Act 2012 (PDPA): Legislation governing the handling and retention of employee personal data during the termination process

Industrial Relations Act (Chapter 136): Legislation pertaining to unionized employees and requirements for union consultation during termination processes

Common Law Principles: Legal principles covering contractual obligations, duty of good faith, and reasonable notice requirements in employment relationships

MOM Guidelines: Ministry of Manpower guidelines outlining best practices for responsible retrenchment and termination procedures in Singapore

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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