Redundancy Letter Example
Example document for Redundancy Letter. Use this as a reference when creating your own.
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Document: Redundancy Letter
Example Document
Last updated 7/27/2026
Complete Building Solutions Pty Ltd 12 Industrial Drive Richmond, VIC 3121 (03) 5550 1234 info@completebuildsolutions.com.au www.completebuildsolutions.com.au
15 October 2023
Mark Stevens 45 Smith Street Abbotsford, VIC 3067
Dear Mark,
NOTICE OF REDUNDANCY
We regret to inform you that your position as Senior Carpenter at Complete Building Solutions Pty Ltd has been selected for redundancy. This decision was made due to a recent downturn in new residential housing contracts in the Melbourne region. We have completed a thorough review of our operational requirements and have determined that this full-time role is no longer required to be performed by anyone.
This letter serves as formal notice of your termination of employment due to genuine redundancy.
Notice Period
In accordance with the Fair Work Act 2009 and the Building and Construction General On-site Award 2020, your employment will terminate on 12 November 2023. This represents four weeks of notice.
You have the option to take this four weeks of paid leave in lieu of working out your notice period. Please confirm your preference by signing below.
Consultation
We consulted with you regarding this decision on 10 October 2023. We considered your feedback regarding reducing hours or moving to sub-contracting work. However, due to the forecast for the next quarter, the business decision to reduce the permanent headcount remains final.
Entitlements
Upon termination, you will receive the following payments:
- Redundancy Pay: $8,000.00 based on your two years of service
- Accrued Annual Leave: $3,200.00
- Annual Leave Loading: $320.00
- Payment in lieu of Long Service Leave (pro rata): $2,400.00
- Unused Rostered Days Off: $600.00
Total Lump Sum Payment (tax free portion indicated on payslip): $14,520.00
These payments will be processed into your bank account on 12 November 2023. You will receive a payslip and a payment summary detailing these amounts.
Other Matters
We will provide you with an Employment Separation Certificate to assist you with any Centrelink claims. Please return all company property, including your Makita drill kit, PPE gear and company vehicle, by close of business on 12 November 2023.
If you require any information about your superannuation with Hostplus, please contact Sarah in the office.
We appreciate the hard work and skill you have brought to our team over the last two years and wish you all the best for your future.
Yours sincerely,
[Signed]
John Smith Director Complete Building Solutions Pty Ltd
Notes
Key Decisions Explained:
- Genuine Reason: The letter specifies a downturn in contracts, which is a valid operational reason under the Fair Work Act.
- Notice Calculation: Mark has 2 years of service. The Act requires 2 weeks notice, but the Award requires 4 weeks. The employer used the higher standard to ensure compliance.
- Redundancy Pay: 2 years of service equates to 4 weeks pay. The letter shows the specific dollar amount.
- Leave in Lieu: Offering the choice to leave immediately is a goodwill gesture that often helps the employee start job hunting sooner, though it requires paying out the notice period.
- Assets: Listing specific tools (Makita kit) and the vehicle ensures there is no confusion about what must be returned.
About this Example
Part of the Redundancy Letter document collection
Document Type
Redundancy Letter
A formal written notification to an employee that their role is no longer required due to operational changes, outlining their entitlements and notice period.