The Work Cancellation Letter is a crucial document in Malaysian employment practice, used when an employer needs to formally terminate an employment relationship or work arrangement. It must comply with the Employment Act 1955 and other relevant Malaysian labor laws, which specify requirements for notice periods, termination benefits, and proper documentation. This document is essential for protecting both employer and employee interests, providing clear documentation of the termination decision, reasons, effective date, and financial settlements. The Work Cancellation Letter should be drafted carefully to ensure all statutory requirements are met, particularly regarding notice periods and termination benefits as prescribed by Malaysian law.
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1. Letter Header: Company letterhead, date, reference number, and recipient's details
2. Subject Line: Clear indication that this is a Work Cancellation Notice
3. Opening Statement: Professional greeting and reference to relevant contract or work agreement
4. Cancellation Declaration: Clear statement of work cancellation and effective date
5. Reason for Cancellation: Brief explanation of the circumstances leading to work cancellation
6. Notice Period: Statement of notice period as per Employment Act 1955 requirements
7. Final Settlement: Information about final payment and benefits as per statutory requirements
8. Return of Property: Instructions regarding company property, documents, or access credentials
9. Closing Statement: Professional closing with contact information for further queries
10. Signature Block: Authorized signatory details and company stamp
1. Handover Instructions: Include when there's ongoing work that needs to be transferred
2. Non-Disclosure Reminder: Include when the worker had access to confidential information
3. Reference Provision: Include when the company is willing to provide employment references
4. Accommodation Details: Include when company-provided accommodation is involved
5. Outstanding Leave: Include when there are unused leave days to be addressed
6. Project Status Summary: Include for project-based work that's being terminated mid-way
1. Payment Calculation Sheet: Detailed breakdown of final payment including salary, benefits, and statutory payments
2. Company Property Checklist: List of company assets to be returned
3. Project Handover Document: Details of work status and handover requirements
4. Employee Benefits Statement: Summary of benefits and their status post-termination
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