Contract Termination Letter Due To Poor Performance for South Africa

Contract Termination Letter Due To Poor Performance Template for South Africa

A formal document issued under South African labor law to terminate an employment relationship based on documented poor performance. The letter serves as the final step in a performance management process, following prescribed procedures under the Labour Relations Act and related legislation. It details the reasons for termination, references previous performance improvement attempts, specifies the notice period, and outlines final arrangements. The document must comply with South African legal requirements for fair dismissal, including both substantive and procedural fairness elements.

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What is a Contract Termination Letter Due To Poor Performance?

The Contract Termination Letter Due to Poor Performance is a crucial document in South African employment law, used when an employer needs to formally end an employment relationship due to unsatisfactory work performance. It represents the culmination of a documented performance management process, which typically includes prior warnings, performance improvement plans, and counseling sessions. This document must strictly adhere to South African labor legislation, particularly the Labour Relations Act and the Code of Good Practice on Dismissals. It should only be issued after fair procedures have been followed, including providing the employee with appropriate guidance, support, and reasonable opportunity to improve. The letter serves both as a legal record of the termination and as documentation that may be required in case of future labor disputes.

What sections should be included in a Contract Termination Letter Due To Poor Performance?

1. Letter Header: Company letterhead, date, reference number, and addressee details

2. Subject Line: Clear indication that this is a termination notice due to poor performance

3. Opening Statement: Formal introduction stating the purpose of the letter and reference to previous performance discussions

4. Performance Issues: Detailed outline of specific performance problems, including dates and instances

5. Prior Interventions: Summary of previous attempts to address performance issues, including warnings and improvement plans

6. Termination Decision: Clear statement of the decision to terminate employment

7. Notice Period: Specification of the notice period as per employment contract and labor law

8. Final Arrangements: Details about final salary, benefits, company property return, and exit procedures

9. Closing: Professional closing statement with contact information for queries

What sections are optional to include in a Contract Termination Letter Due To Poor Performance?

1. Right to Appeal: Information about internal appeal processes, if applicable in the organization

2. Reference Provision: Statement about the company's policy regarding future employment references

3. Non-Disclosure Reminder: Reminder of ongoing confidentiality obligations, if applicable

4. Severance Package: Details of any severance pay or additional benefits, if offered

5. Legal Rights Statement: Information about the employee's legal rights, particularly relevant in sensitive cases

What schedules should be included in a Contract Termination Letter Due To Poor Performance?

1. Performance Review Records: Copies of relevant performance evaluations and reviews

2. Warning Letters: Copies of previous written warnings or performance improvement notices

3. Meeting Minutes: Records of performance discussion meetings and counseling sessions

4. Performance Improvement Plan: Copy of any formal performance improvement plans and outcomes

5. HR Policy Extracts: Relevant sections of company policies regarding performance management and termination

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

South Africa

Publisher

Genie AI

Cost

Free to use
Relevant Industries

Financial Services

Manufacturing

Retail

Information Technology

Healthcare

Education

Mining

Construction

Professional Services

Hospitality

Telecommunications

Agriculture

Transportation

Energy

Public Sector

Relevant Teams

Human Resources

Legal

Operations

Management

Employee Relations

Compliance

Administration

Industrial Relations

Relevant Roles

CEO

HR Director

HR Manager

Department Manager

Line Manager

Supervisor

Team Leader

Legal Counsel

HR Business Partner

Employee Relations Manager

Operations Manager

General Manager

Managing Director

Regional Manager

Branch Manager

Industries
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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