The Mutual Termination Of Employment Letter is used when both employer and employee in Singapore agree to end their employment relationship amicably. It provides a formal record of the agreement and includes essential details such as the termination date, final payment terms, and mutual releases. This document must comply with Singapore's Employment Act and MOM guidelines, ensuring all statutory obligations are met. It's particularly useful during restructuring, career transitions, or when both parties agree that ending the employment relationship is in their best interests.
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1. Date and Parties: Full names and details of employer and employee
2. Reference to Original Employment Contract: Details of original employment agreement being terminated
3. Mutual Agreement Statement: Clear statement that termination is by mutual consent
4. Last Working Day: Specific date of employment termination
5. Final Payment Terms: Details of final salary, leave encashment, and other payments
6. Company Property Return: List of items to be returned and deadline
7. Full and Final Settlement: Statement confirming settlement of all claims
1. Pro-rated Bonus: Details of any pro-rated bonus payments if applicable during the relevant period
2. Non-compete Clauses: Reminder of existing post-employment restrictions from original contract
3. Medical Benefits Extension: Details of any continued medical coverage post-termination
4. Reference Letter: Confirmation of providing reference letter when agreed as part of termination package
1. Final Payment Calculation: Detailed breakdown of all final payments including salary, leave encashment, and other benefits
2. Company Property Checklist: Comprehensive list of company assets to be returned by the employee
3. Benefits Summary: Summary of any continuing benefits post-termination and their duration
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Mutual Termination Of Employment Letter
A Singapore-compliant document recording the mutually agreed termination of employment between employer and employee.
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