The 9 Most Important Things To Include In Offer Letter

Category: HR Insider | Date: | Total Views: 1813


You have a hectic schedule, reviewing dozens of resumes and holding several rounds of interviews. Some candidates don’t appear for the interview and a few get cold feet during the interview process. Finally, after all the screening and background checks, you hire the perfect candidate. 


Verbal confirmation is extended from the company's side, the candidate seems thrilled and you promise to send in an offer letter to seal the deal. Two or three days pass by, you fall into the busyness trap and forget to send an offer letter. As soon as you remember, an offer letter is sent.


And that's where things go downhill. First thing in the morning, you get an email from the candidate. The applicants did not choose your company and accepted another offer. 


It is crucial to keep in mind that a deal is only done once the offer is accepted. 


The time frame and the quality of the offer letter can make or break the recruiting process. A detailed and professional letter leaves the candidate feeling excited about their new role. The quicker this letter is sent the higher the chances of it getting accepted. 


The main step to onboarding a recruit requires you to be quick. With the templates and guidance in this blog, you can easily send offer letters that encourage candidates and drive them to accept.


Offer Letter and its importance


A job offer letter is an official document created by the company, offered to potential employees to let them know that they have been selected for the job position. It is the potential employee's hand to accept the letter or not. 


The offer letter provides information regarding the hiring package, job description and remuneration. It helps the candidates decide if the job is the right fit for them. 


An offer letter serves as the foundation for the company. The letter mentions the expectation for the employee while explaining the benefits. This document allows employers to terminate employment as per they want and render a notice period for ending employment as needed. 


Must-Have in an Offer Letter


Here are a few pointers that need to be included in the job letter that can accelerate acceptance and bring people abroad.


  • Company logo

  • Greetings

  • Employment type

  • Work schedule

  • Job title and description

  • Employee benefits

  • Company policies

  • Expiration Date

  • Closing


Company logo


Use your brand logo, and the company’s official letters with a high-resolution image to convey professionalism and demonstrate that the offer letter is official. Begin your letter by putting your company logo at the top corner to encourage the candidates to take your offer seriously.


Greetings


The opening line can be casual or formal depending upon your company culture. Start with a “Dear” followed by the potential employee's name. Then offer the candidate the job and congratulate him/her and end the paragraph on a positive note.


Employment type


Companies may not always need to employ staff permanently, which is why different types of employees are hired. A new hire should be made aware of his/her employment type from the beginning in order to avoid any kind of surprises or confusion later on. 


Work schedule


Mention whether the candidate will be working half-time on a shift basis or full-day. Start with the time they must arrive at the office as well as the general work hours. Include shifts, if applicable to the type of employment they are being hired for. Clearly cite if the work is remote, hybrid or work from the office to avoid confusion later on.


Job title and description


The offer letter should be written in such a way that the reader has a clear picture of the task needed to be performed by the employee. Having the roles and responsibilities set out for the position gives a clear-cut idea about the nature of the work and manages expectations. A well-written job description is worth the effort as the core requirements of the position are clearly related to the candidates. 


Employee benefits


After receiving the offer letter, candidates will be eager to see their salary package. Salary should be determined based on various aspects like the candidate’s experience, education and skill set. For freshers with not much experience, a minimum salary allocated by the government must be paid. 


In addition to the salary, the company can also mention bonuses, incentives, social security funds, and insurance benefits. Providing salary details to the candidates gives assurance to the employee about the best HR practices followed by the company. 


Company Policies


You can state some of the unique policies set by the company and mention that the employee is subject to compliance with the policies as laid down and these policies may be revised and changed from time to time. These days, most progressive companies offer tuition reimbursement, corporate discounts, paid vacations, or flexible work timings. Take this opportunity to explain about companies benefits provided to the employees.


Expiration Date


While it is important to give candidates time to read the offer letter carefully, it is also necessary to wrap up your letter with an expiration date. A deadline makes sure that the candidates accept the offer within the specified date. It will also prevent you from losing potential candidates if the prospective employee declines your offer. A fixed deadline of 2-3 days to make a  decision should be enough for the candidate


Closing


Now that all the necessary information has been given, end the letter by expressing excitement about onboarding the new employee to the team. Provide contact information in case the candidate needs to reach out to you. Conclude by signing the letter to make it official and include a line for the candidate to sign as well. 


Job Offer Letter Template


 

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