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The Labour Cancellation Letter is a crucial document in South African employment law, used to formally document the termination of an employment relationship. This document is essential for ensuring compliance with South African labour legislation, including the Labour Relations Act and Basic Conditions of Employment Act. It should be used whenever an employment relationship is being terminated, whether through resignation, mutual agreement, or employer-initiated termination. The letter serves multiple purposes: it confirms the termination in writing, specifies the notice period and last working day, outlines final payment arrangements, addresses company property return, and reminds the employee of any continuing obligations. A properly drafted Labour Cancellation Letter helps protect both employer and employee interests and can be vital documentation in case of future disputes.

1. Letter Header: Company letterhead, date, reference number, and addressing details of the employee

2. Subject Line: Clear indication that this is a termination/cancellation of employment

3. Formal Notice: Clear statement of employment termination with reference to relevant contract clause or circumstances

4. Effective Date: Specification of the last day of employment and notice period details

5. Final Payment Details: Information about final salary, leave pay, and other due amounts

6. Company Property: List of company property to be returned and process for return

7. Closing: Professional closing with contact details for HR/relevant manager