Sample Termination Letter to Employee Due to Downsizing

By | November 14, 2014

The global recession has affected us in more than one way. Not only have we seen inflation at its highest, but many people have also lost their jobs due to companies downsizing so much. Jobs have been cut drastically over the past few years to make amends for failing businesses, and many people have found themselves looking for other jobs in a dramatically failing economy.

While not a pleasant task, employers have probably written the most number of termination letters in the last ten years than they ever have! It may make their hearts heavy, but it is something that they have to do if they want to work towards the betterment of the company.

Termination letters written to employees due to downsizing in a company are straightforward. They need to point out the reason why an employee is being downsized and provide information to employees pertaining to what their rights are at this point. Here is an example:


Sample Termination Letter Due to Downsizing


August 15, 2018

Mr. Kevin Clover
Marketing Manager
Pokemon Company International
63 Ventura Boulevard
Woodland Hills, CA 82946


Dear Mr. Clover:

It was not an easy decision to terminate your contract as Marketing Manager at Pokemon Company International; regrettably, we have no choice but to take this action. As you know, economic conditions in the gaming industry are not favorable for the company anymore and we have had to significantly cut down our costs. It is also unfortunate that your position has been made redundant as we feel that the marketing efforts we will need in future are not much detailed.

As per the contract that you signed at the beginning of your employment with Pokemon Company International, you are entitled to severance pay for each year that you have worked here. This means that you will be entitled to 10 weeks’ pay (since you have worked with us for 10 years) at the end of December which is the time we have decided to end all existing contracts.

The decision to terminate your contract does not reflect on the quality of your work. You have been an outstanding employee and we would like to acknowledge your immense contribution to the company. Please contact Mr. Mason Corpus (Manager HR) for any further information that you will need for a smooth transition. We wish you the best of luck in finding a suitable job.



Herbert Collins
Director Human Resources
Pokemon Company International
Tel: (333) 333-3333