What Needs to Be in a Job Offer Letter?

By hrlineup | 16.07.2020

Recruitment managers have to go through numerous processes when seeking the best candidate for an available position. One of the final and most crucial is giving the new hire formal job offer letter.  The job offer letter lets a candidate know that the company has chosen them to take up a position, and also acts as an invitation to ensure that the best possible candidate will accept the job. To accept the offer the job, offer, it needs to be signed by the candidate as an acknowledgement that they are ready to take up the new position.

The Offer of Employment Letter

Attention to detail is essential when putting together the job offer letter. This document is for lasting reference, and other hiring documents contain information from the offer letter.

The job offer letter is made up of eight parts as follows: –

  1. Company Logo – To ensure that the letter is formal, it has to be on the official letterhead of the company. Unless candidates are far away, the offer letter is often a physical document rather than a digital one.
  2. Date and Contacts – The full name of the applicant and their contact details should appear at the top of the letter. This ensures that any error is identified early.
  3. Job Title – This part identifies the job that is on offer. The job title can be put in the subject and the first paragraph of the offer letter.
  4. Job Description – Offers a brief description of the roles and responsibilities of the role.
  5. Date of Commencements – Details for the first date on the job.
  6. Reporting Structure – Reveals who the new hire will be reporting to in the workplace. This ensures that the new hire knows the name of their supervisor or manager from the very first day on the job.
  7. Compensation and Benefits – This includes the expected salary, medical, retirement and other benefits that form part of the employment package.
  8. Termination conditions – This section provides information on termination, including whether a contract may need a signature for full job confirmation.

A verbal offer often precedes the offer of employment. Once an employee has agreed to the verbal offer, a written job offer letter follows. This letter will only be issued once a range of checks has been carried out, and the new hire is eligible to begin working in the company.

There is always a time limit within the job offer letter so that the candidate knows when they need to reply. Recruiters assume that if the reply does not come by this date, then the candidate is not interested in the position. At the end of the letter, the contact details of the recruiter are included in case the candidate needs to reach out for more information.

Candidates need to note that the offer letter is not an employment contract, even though one needs to sigh to accept it. It does not offer any protection from termination and can also be rescinded as the potential employer sees fit.

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