When it comes to human resource related tasks, hiring and onboarding employees is a critical piece to business success. There are many steps in the process. Some of these steps include sourcing talent, interviewing applicants, writing a job offer, onboarding employees and training new hires. In this article, we will focus on the job offer letter and what should be included in an offer letter.
What is an offer letter?
An offer letter for a job refers to an official document that employer gives to an employee in order to provide them with an offer of employment. Generally, the offer letter is given to a candidate after a series of interviews when an employer wants to move to hire. This letter will list all the terms and conditions of the job such as job description, compensation and benefit details, etc. The offer letter is proof of confirmation of all the agreed parameters between the employer and employee.
What should be included in an offer letter?
The offer letter should outline the expectations and benefits of the job and provide explicit details about compensation. Ideally, it provides the candidate with all the information they need to make an informed decision about whether to accept the job or not. A standard offer letter generally should include:
- Job details, including job title, supervisor name, supervisor title, start date, work location, full or part time (and expected number of hours per week), and whether it’s exempt or nonexempt. You could include a full job description as an attachment for their review;
- Contingencies such as passing a drug screening and background check prior to the start date;
- Compensation, including base pay rate, pay periods, and any bonuses or commissions they are eligible for;
- A brief overview of benefits and a timeline of when they become effective. You can include an attachment with additional details, including coverage and costs;
- A statement that this is at-will employment (unless it’s not); and
- Instructions on how to accept the offer and any applicable deadlines.
Resources for employers
Below are a few resources to assist employers in writing offer letters. Please contact us if you need assistance with hiring and onboarding your new employees!