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A Position Elimination Letter is a crucial document used when an organization needs to formally communicate the elimination of an employee's position due to organizational restructuring, economic downturn, technological changes, or other business reasons. This document, which must comply with Malaysian employment legislation, serves multiple purposes: it officially notifies the employee of the position elimination, documents the business justification, outlines the timeline and transition process, details the severance package and final payments, and explains any continuing benefits or obligations. The letter should be drafted in accordance with Malaysian employment laws, particularly the Employment Act 1955 and related regulations, ensuring all statutory requirements for termination benefits and notice periods are met. It's essential for risk management and maintaining proper documentation of the termination process.

1. Date and Addressee Details: Employee's full name, position, and complete address

2. Subject Line: Clear indication that this is regarding position elimination/redundancy

3. Business Context: Explanation of the business circumstances leading to the position elimination

4. Notice of Position Elimination: Clear statement that the position is being eliminated and the effective date

5. Notice Period Details: Specification of the notice period or payment in lieu of notice

6. Severance Package: Details of the termination/severance benefits as per Malaysian law

7. Final Payment Details: Breakdown of final salary, unused leave, and other entitlements

8. Company Property: Instructions regarding return of company property

9. Continuation of Benefits: Information about any benefits that continue post-termination

10. Reference Letter Provision: Confirmation of providing a reference letter

11. Acknowledgment Section: Space for employee signature acknowledging receipt