End of fixed term contract letter template
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Our End of Fixed Term Contract Letter Template streamlines contract closure, ensuring clear communication and compliance with employment regulations.
If an employee has reached the end of their fixed term contract, send this model letter to confirm it.
Why this letter is necessary
An End of Fixed Term Contract Letter is a document used by an employer to notify an employee that their fixed-term contract will soon come to an end. The letter typically contains information about the contract end date and any relevant information about the employee's entitlements or obligations after the contract ends.
The letter may also include details about the possibility of renewing or extending the contract, if applicable. If the employer does not intend to renew the contract, the letter should state the reason for the non-renewal and provide any relevant notice periods or other requirements.
Compliance notes
Here are some UK employment legislations to consider when implementing an End of Fixed Term Contract Letter:
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The Fixed-term Employees (Prevention of Less Favourable Treatment) Regulations 2002: Ensure that you do not treat your fixed-term employees less favourably than your permanent employees in terms of their employment conditions or opportunities.
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The Employment Rights Act 1996: Provide your fixed-term employees with the necessary notice of the contract end date and their entitlements or obligations after the contract ends, including any redundancy pay if applicable.
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The Equality Act 2010: Ensure that the end of the fixed-term contract is not due to any discriminatory reasons, such as the employee's protected characteristics, and that you provide equal opportunities for all employees, including those on fixed-term contracts.
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The Data Protection Act 2018: Ensure that you handle any personal data related to the fixed-term contract and its end in accordance with data protection regulations and that you obtain the necessary consent from your employees to process their data.
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The Immigration, Asylum and Nationality Act 2006: Ensure that your fixed-term employees have the right to work in the UK before the end of the contract, and that you comply with any relevant immigration laws and regulations.
Fixed-term contracts will normally end automatically when they reach the agreed end date.
The employer doesn't have to give any notice, but it is good practice to do so.
Implementation timeline
| Step | Description | Responsibility | Timing |
| 1 | Review contract end date and employment terms | HR/Manager | As required |
| 2 | Assess the need for contract extension/renewal | HR/Manager | As required |
| 3 | Invite the employee to a meeting to discuss contract end | HR/Manager | Before start of notice period |
| 4 | Conduct meeting to discuss contract end | HR/Manager | Before start of notice period |
| 5 | Issue End of Fixed Term Contract Letter | HR/Manager | As soon as possible after the meeting |
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Specifications
5 mins
170 words, 1 page A4
1 November 2024
[Company name]
[Sender address]
[date]
[Recipient name]
[Recipient address]
Dear [Recipient first name],
As you are aware following our meeting held on [date], your fixed-term contract is due to expire on [date].
[OR
As you are aware following our meeting held on [date], you were employed on a fixed-term contract on the condition that your employment would terminate when the [task/project] was completed. The [task/project] for which you were employed is set to be completed on [date].]
[OR
As you are aware following our meeting held on [date], you were employed on a fixed-term contract on the condition that your employment would terminate [if/when] [state event that is about to occur]. We now know that this will be on [date].]
As explained to you at the meeting, unfortunately the company does not have any further work for you beyond that date and your employment with the company will therefore terminate on [date].
You will be paid by the company in the usual manner on [date] and a form P45 will be sent to you within seven days of the termination of your employment.
You have the right of appeal against this decision. Your appeal should be directed to [Name | the HR Department | HR Services] within [number] days of receiving this letter. It should set out in full the reason(s) for your appeal.
Yours [faithfully | sincerely],
[Sender name]
[Sender job title]
[Sender telephone]
[Sender email]
[For, and on behalf of [Company name] ]
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