5 Tips for Writing Employee Offer Letters
Sending an offer letter is a good idea because it answers frequently asked questions and can protect you from potential lawsuits, since the letter will make your expectations and employment requirements clear.
If you’re crafting an offer letter, read this post to learn how you can write an effective letter that will clearly explain to new employees what their job will consist of and what the terms of their employment are.
How to Write an Employee Offer Letter
1. Confirm Details of the Employment Offer
To avoid making your offer letter sound like an employment contract and prevent potential lawsuits, it’s typically recommended to focus on certain job-related terms and details, including:
- Job description: In this section, describe the candidate’s responsibilities and reporting structure in detail.
- Job title: Provide an official title so that the employee will know what their role is.
- Salary: In addition to including a specific number or range, describe your policies on raises and bonuses.
- Benefits and eligibility: Any benefit provided by your company (disability insurance, life insurance, profit sharing, health insurance, savings plans etc.) as well as eligibility criteria should be clearly identified and explained.
- Starting date of employment: Of course, the employee will need to know when they’ll be required to start working.
2. Make Legal Considerations Clear
An offer letter is not an employment contract, and if you want to keep it that way, you should ensure that it can’t be misinterpreted as one. A sure-fire way to achieve this is to include an at-will statement. Here’s a typical example:
“Your employment is at-will and either party can terminate your employment relationships at any time, with or without notice.”
While it sounds not-so-friendly to the receiver, it’s common language in the world of employment because most employees in the United State are working in an “at-will” employment arrangement (check out the list of at-will states to see if your state allows this arrangement).
Just for the sake of additional protection, avoid using phrases that imply a guarantee of a future employment, such as “in the future,” and “job security.”
3. Explain Your Company’s Policies
Your offer should contain a paragraph that clearly describes that your organization has specific policies related to information security, human resources, and compliance. Let the reader know that following these policies is a mandatory condition of the employment, and they may be required to sign an acknowledgment document which confirms that they read and understood them.
In addition, it’s a good idea to mention that your organization reserves the right to revise these policies so the employee will need to comply with future changes as well.
4. Let the Receiver Know You’re Excited
Receiving an offer letter can be extremely exciting for a candidate, so you should ensure that your offer letter reflects that you and your existing employees are glad that they may be joining your team. Here’s a good example of how you can convey your excitement:
“Dear John, on behalf of OUR BUSINESS, I am pleased to let you know that we decided to offer you the position of [title] on the terms and conditions set forth in this letter. We are looking forward to working with you and feel like you can make a positive contribution to the success of our business. Welcome!”
5. Tell That the Offer Expires and What to Do Next
Most job offers have an expiration date, so it should be identified in the letter. Typically, businesses set the expiration period at two days because it helps to create a sense of urgency.
In your letter, you should clearly identify the actions that need to be taken by the applicant to confirm that they are accepting the offer. For example, you may want the candidate to sign the letter and return it to a specific HR employee within a specified deadline.
Also, in the letter, you should let the candidate know what to expect once they accept the offer. For example, once you receive the signed letter, you’ll have someone from HR contact them to explain how to complete remaining paperwork to finalize the employment agreement.
A properly written offer letter ensures that you’ve started a new relationship with an employee in the right way and covered all your bases. Take advantage of offer letters and use them to benefit your business and the potential new employee.
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