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A Letter of Counseling is a crucial management tool in the Australian workplace that serves as an intermediate step in the performance management process. It is typically used when verbal counseling has not achieved the desired improvement or when the nature of the issue requires formal documentation. This document must comply with Australian employment law, including the Fair Work Act 2009, privacy legislation, and anti-discrimination regulations. The letter should detail specific incidents or concerns, outline expected standards, provide clear improvement pathways, and specify review periods. It forms part of the employee's official record and may be referenced in future performance reviews or disciplinary actions. While maintaining procedural fairness, the Letter of Counseling demonstrates the employer's commitment to supporting employee improvement while protecting the organization's interests.

1. Letter Header: Include company letterhead, date, and formal addressing to the employee

2. Purpose Statement: Clear statement indicating this is a letter of counseling and its general purpose

3. Specific Incidents/Issues: Detailed description of the behavior, performance issues, or incidents that prompted the counseling

4. Impact Statement: Explanation of how the identified issues affect the workplace, team, or organization

5. Previous Discussions: Reference to any prior verbal discussions or warnings about the issue

6. Expected Standards: Clear outline of the expected behavior or performance standards

7. Improvement Actions: Specific steps or actions the employee needs to take to address the issues

8. Support Resources: Available resources or assistance to help the employee improve

9. Timeline: Specific timeframe for improvement and review

10. Consequences: Clear statement of potential consequences if improvement is not achieved

11. Closing: Professional closing with signature lines for all relevant parties