Letter of Termination of Employment For Misconduct

Letter of termination of employment (summary dismissal –
serious misconduct) template
You can use this template when terminating an employee’s employment for serious misconduct.
Generally, employers must not terminate an employee’s employment unless the employer has
given the employee written notice of the day of the termination of the employment (which
cannot be before the day the notice is given). The written notice should specify the period of
notice given (or payment in lieu of notice if the employee is not required to work the notice
period) and the date the employment will end.
Summary dismissal for serious misconduct has immediate effect. It is a severe step to terminate
an employee’s employment without providing notice of termination (or payment in lieu of notice),
so you may wish to seek legal advice about the matter before taking action.
Examples of serious misconduct are:
 theft
 fraud
 assault
 being drunk at work
 refusing to do something lawful and reasonable that is part of their job
 seriously risking someone else’s health or your business.
Important:
 It is important that you comply with the specific conditions of employment for your
employee prior to making the decision to terminate their employment. As an employer
you must make sure you have met your obligations under the Fair Work Act 2009 as
well as the relevant industrial instruments that apply to the employee (e.g. a modern
award or enterprise agreement).
Are you a small business owner?
If you operate a small business it is important that you follow the Small Business Fair Dismissal
Code when terminating an employee’s employment. Find out more in the Termination section at
www.fwbc.gov.au/termination
Suggested steps for preparing a letter of termination for summary

dismissal
Before making a definite decision to summarily dismiss an employee because of serious misconduct,
you may wish to follow the steps below.
For more information on unfair dismissal, visit www.fwbc.gov.au
If at any time you need more information or assistance, call the Fair Work Building &
Construction Hotline on 1800 003 338 or visit www.fwbc.gov.au
Fair Work Building & Construction is committed to providing useful, reliable information to help you understand your rights
and obligations under workplace laws.
It is your responsibility to comply with workplace laws that apply to you.
The information contained in this publication is:
• general in nature and may not deal with all aspects of the law that are relevant to your specific situation; and
• not legal advice.
Therefore, you may wish to seek independent professional advice to ensure all the factors relevant to your circumstances
have been properly considered
Step 1: Identify the serious misconduct and consider seeking legal advice
Identify exactly what the employee did that was unacceptable and the impact the misconduct had on
the business. Dismissing an employee without notice of termination is a serious step, so you may wish
to seek legal advice about the matter before taking any action.
Step 2: Discuss the misconduct with the employee

Speak to the employee directly about the conduct to avoid making assumptions about the situation.
Explain your intention in relation to continuing their employment.
In any formal meeting, the employee should be allowed to be represented or accompanied by a

support person. When reviewing unfair dismissal claims, Fair Work Australia may consider whether
an employer unreasonably refused to allow an employee to have a support person at any discussion
relating to their dismissal.
You should keep a record of any meetings that you have with employees about their conduct. You
may wish to use our Recording details of a meeting template to do this – available in the Templates
section at www.fwbc.gov.au/templates
Step 3: Consider your options

Depending on the severity of the misconduct, you may choose to:
 give the employee a written warning
 dismiss the person with notice or pay in lieu of notice, or
 summarily dismiss the person.
However, you may wish to seek legal advice about the matter before taking any action.
Step 4: Create your letter of termination of employment

If the employee’s action was serious misconduct that warrants summary dismissal, create an
appropriate termination of employment letter. While you do not need to provide the employee with
notice of termination for serious misconduct, it is best practice to provide written confirmation that you
are ending their employment.
Ensure you include in the letter:

 the reasons for the termination of the employment, and
 when the employment will end.
This letter of termination template has been colour coded to assist you to complete it accurately. You
simply need to replace the red < > writing with what applies to your employee and situation.
Explanatory information is shown in blue italics to assist you and should be deleted once you have
finished the letter.
Step 5: Meet with the employee to provide the letter of termination of employment
The reasons for the termination of employment should be explained to the employee verbally and he
or she should be provided with the opportunity to ask questions.
It is important to explain the information in the letter of termination of employment and ensure that the
employee understands.
You should keep a copy of the letter of termination of employment for your records.
Important: An employee may choose to submit a complaint or claim against you (e.g. unfair dismissal,
discrimination) even if you follow these steps.
<Print on your business letterhead>
<Date>
Private and confidential
<Insert employee’s full name>

<Insert employee’s residential address>
Dear <insert name>

Termination of your employment
I am writing to you about the termination of your employment with <insert company/partnership/sole
trader name and the trading name of business>.
I refer to our meeting on <insert date> which was attended by you and <insert name of others at the
meeting>. During the meeting we discussed <insert details of serious misconduct>.
This meeting was attended by you and <insert names of people at the meeting> and we spoke about
<insert details of the serious misconduct incident, including the date it occurred>.
As discussed during the meeting, your conduct during that incident:
Delete the points not applicable or add others if you believe they warrant summary dismissal. Seek legal
advice if you are unsure if the actions warrant termination of employment without notice.
 was wilful or deliberate behaviour by you that is inconsistent with the continuation of your contract of
employment.
 caused a serious and imminent risk to the health or safety of a person.
 caused a serious and imminent risk to the reputation, viability or profitability of the Employer's
business in that <insert details>.
 was conduct in the course of your employment engaging in theft, and in the circumstances your
continued employment during a notice period would be unreasonable.
 was conduct in the course of your employment engaging in fraud, and in the circumstances your
 was conduct in the course of your employment engaging in assault and in the circumstances your
 you were intoxicated at work, to the extent that you were so impaired that you were unfit to be
entrusted with your employment duties.
 you refused to carry out a lawful and reasonable instruction that was consistent with your contract of
employment, and in the circumstances your continued employment during a notice period would be
unreasonable.
We consider that your actions constitute serious misconduct warranting summary dismissal.
You will be paid any accrued entitlements and outstanding remuneration, including superannuation, up
to and including the date of this letter.
Employees and employers may seek information about minimum terms and conditions of employment
from the Fair Work Building & Construction. If you wish to contact them you can call 1800 003 338 or
visit their website at www.fwbc.gov.au
Yours sincerely,
<Insert name>
<Insert position>
PLEASE KEEP A COPY OF THIS LETTER FOR YOUR RECORDS

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What steps should an employer take before terminating an employee for serious misconduct?

What are some examples of serious misconduct that could warrant summary dismissal?

Letter of termination of employment (summary dismissal –

serious misconduct) template

Suggested steps for preparing a letter of termination for summary

For more information on unfair dismissal, visit www.fwbc.gov.au

Step 2: Discuss the misconduct with the employee

In any formal meeting, the employee should be allowed to be represented or accompanied by a

Step 3: Consider your options

Step 4: Create your letter of termination of employment

Ensure you include in the letter:

Private and confidential

<Insert employee’s full name>

Dear <insert name>

As discussed during the meeting, your conduct during that incident:

PLEASE KEEP A COPY OF THIS LETTER FOR YOUR RECORDS

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