A letter of offer is a document that is sent by an employer to an applicant who has been chosen for a job. The letter officially documents the applicant’s acceptance of the employment offer. As an employer, it is wise to have this confirmation made in written form, especially with regards to the terms that both parties have agreed to. This is particularly useful to refer back to in instances where the employment conditions are disputed. 

This document is a simple, short form agreement for permanent (full or part time) employees. You should ensure that all provisions are suitable for your circumstances and the desired mode of employment. You should also ensure that you are familiar with the National Employment Standards, which will apply alongside this agreement, and will regulate the minimum entitlements that can be provided. You can learn more about the National Employment Standards and other workplace matters from the Fair Work website.

It is not suitable for:

• Contractors.

• Casual employment.

• Maximum or fixed term employment.

• Employment under a modern award.

To be effective, the letter must be signed by an authorised representative of the employer (typically the HR manager).

You can have this letter signed physically or electronically. When sending a physical copy of this letter, you should enclose two copies: one for the employee to keep, and another for them to sign.

It is generally advised to send this letter to the employee a few weeks in advance of the expected start date, to give them a chance to review the agreement and for both parties to make any necessary adjustments. However, by the time the letter is sent, the key terms should have been conveyed to the employee as part of the recruitment process.

Policies

This agreement can be supplemented to fit your business needs through the use of workplace policies. Workplace policies are terms that are set by the employer (generally the HR department) and varied from time to time to meet the employer’s legal and commercial requirements. They are automatically incorporate into the agreement, which means that the employee will be bound to them.

Workplace policies may be provided individually or through an Employee Handbook.

Use this Letter of Offer If:

• You want to formally document the acceptance of your employment offer

• You want to outline the key terms and conditions of the employment arrangement

• You want to protect yourself from disputes over conditions of employment

What does this Letter of Offer cover?

• Acceptance of employment offer

• Commencement

• Position, duties, and working hours

• Salary and additional benefits

• Probation period, notice period, annual leave and termination provisions

• Confidentiality provision

• Non-compete provisions

• Intellectual property provision

Other documents you may need:

• Full Time Employment Agreement

• Part Time Employment Agreement

• Casual Employment Agreement

• Termination Letter