Free template letter for ending employment — summary dismissal for serious misconduct, dismissal after warnings, or redundancy. Cites the Fair Work Act 2009 and Fair Work Regulations 2009. Not legal advice.
Last verified: 21 May 2026A defensible termination letter states the ground, the last day of employment, the notice arrangement (worked, paid in lieu, or none for serious misconduct only), the warning history for warned grounds, and final pay — accrued wages, untaken annual leave, and other entitlements. This template covers all of these.
The Fair Work Commission examines dismissals under section 387 of the Fair Work Act 2009. The letter is the first document a member reads. The most common failures:
In most cases, yes — section 117(1) of the Fair Work Act 2009 says an employer must not terminate employment without giving the employee written notice of the day of termination. A fuller letter setting out the reason for dismissal is not prescribed by the Act, but the Fair Work Ombudsman recommends it as best practice, some awards and agreements require written notice of termination, and a clear letter is central evidence if the dismissal is later challenged. Notable exceptions to the notice requirement include casual employees and employees dismissed for serious misconduct (s.123).
Section 117(3) of the Fair Work Act sets the NES minimums by continuous service: 1 week (1 year or less), 2 weeks (1–3 years), 3 weeks (3–5 years), 4 weeks (more than 5 years) — plus 1 extra week if the employee is over 45 with at least 2 years of continuous service. The contract, award, or enterprise agreement may require more; the greater applies. Notice can be worked out or paid in lieu at the full rate of pay. Use the Notice Period Calculator to check the minimum for a specific employee.
Summary dismissal is termination without notice. Regulation 1.07 of the Fair Work Regulations 2009 defines serious misconduct as wilful or deliberate behaviour inconsistent with the continuation of the contract of employment, or conduct that causes serious and imminent risk to the health or safety of a person or to the reputation, viability or profitability of the business — including theft, fraud, assault, being intoxicated at work, and refusing a lawful and reasonable instruction. The minimum notice periods do not apply (s.123(1)(b)), but the employee must still be paid all accrued entitlements — outstanding wages and untaken annual leave.
The Code (declared under s.388 of the Fair Work Act) applies to employers with fewer than 15 employees. If a small business employer follows the Code and the dismissal is consistent with it, the dismissal is not an unfair dismissal. The Code permits summary dismissal where the employer believes on reasonable grounds that the conduct is serious enough — for example theft, fraud, violence, or serious safety breaches — and for other dismissals requires a valid reason, a warning, and an opportunity to improve. Small business employees also need 12 months of service (rather than 6) before they can claim unfair dismissal.
An eligible employee has 21 days from the day the dismissal takes effect to lodge an unfair-dismissal application with the Fair Work Commission (s.394(2)). The Commission then assesses whether the dismissal was harsh, unjust, or unreasonable under s.387 — looking at whether there was a valid reason, whether the employee was notified of it and given an opportunity to respond, prior warnings for performance dismissals, and whether a support person was unreasonably refused. A clear, accurate termination letter that reflects a fair process is a key part of the defence; a letter cannot fix a flawed process.
Final pay includes all outstanding wages for hours worked, payment for untaken accrued annual leave (plus leave loading where it applies), and any other amounts owing under the contract, award, or agreement — such as redundancy pay or payment in lieu of notice where applicable. The Fair Work Act does not set a universal deadline, but most awards require final pay within 7 days of the employment ending. This applies to every termination ground, including summary dismissal. Use the Final Pay Calculator to work out the amounts.
Plan the process before you write the letter
The letter records the end of a fair process — it can't create one. The Employer Dismissal Process Builder walks through the warnings, meetings, and checks the Fair Work Commission expects before termination.
Everything you need to know about unfair dismissal in Australia. Eligibility, how to lodge a claim with the Fair Work Commission, time limits, remedies, and what to expect.
Unfair Dismissal Australia: Time Limits, Eligibility & How to ClaimComplete guide to unfair dismissal claims in Australia. Covers eligibility requirements, the strict 21-day time limit, the Fair Work Commission process, remedies including reinstatement and compensation, and the small business fair dismissal code.
How to File an Unfair Dismissal Claim in Australia — Step-by-Step ProcessComplete guide to filing an unfair dismissal claim with the Fair Work Commission. Covers eligibility, the 21-day deadline, application forms, conciliation, and what compensation you can expect.
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General information and estimates only — not legal, financial or tax advice. Always check your specific award, agreement or contract, or a qualified professional, before you rely on the result.
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