Never Skip These Details In An Offer Letter Format!

Since HR managers are the ones who draft and send business letters on a frequent basis, they clearly know the importance of every letter. Needless to say, business letters create an impression on the organization or person it is sent to. This is certainly why HRs are always expected to be mindful while choosing HR letter format and drafting it. 

In this blog, we will talk about one of the most important letters in the corporate world, i.e. offer letters. We will tell you some crucial details that should never be missed in an offer letter format. 

Before discussing anything, let’s know the definition and importance of this letter. 

An offer letter is a document that is given by companies to their selected candidates. It is used to formally spell out the details about the offer, highlight the job’s responsibilities and explain the details of the organization to a new employee. In essence, offer letters not just mark the beginning of a positive employment journey but also set the right and clear expectations. 

Now, let’s talk about its importance. Contrary to a lot of beliefs, offer letters are important for both employees as well as organizations. When it comes to employees, it helps them to prove their employment. And for companies, an offer letter is the very first point of contact between a candidate and an employer – and making this first impression a good one is critical for them, too. 

So, now that we know the meaning as well as the importance of offer letters, take a look at the top 5 critical information that should always be included in it: 

Designation

The designation of the selected candidate should always be spelled out in bold letters. Along with that, HRs should also add his/her duties and responsibilities. Adding these details will give a clear picture to employees and leave them with no doubt about their role. Also, not including designation in the offer letter format will have a negative impact on employees, which no company wants.

Reporting Manager

Most often, candidates do not get a chance to meet his or her reporting manager (RM) during the selection process. Like any other information, employees should also be informed about who they will be reporting. HR managers should mention the name and designation of the RM. To add more value to the letter, one can even brief the hierarchy of reporting. This will help a new employee to understand the system in which members of the company are ranked. 

Salary

This is one of the most crucial elements to be included in the offer letter format. Let’s face it, the first thing every employee looks for when s/he receives the letter is the salary details. Keeping this in mind, HR professionals should always highlight every information related to salary, from deductions, benefits to CTC. 

Joining Date

The fourth must-have information in an offer letter is the joining date. Now, spelling out joining date and time can help employees to avoid confusion and show up at the right time/date. Apart from this, offer letters come in handy and aid employees in various ways. Say, for instance, if an employee has to take a loan, s/he will be asked for the offer letter to prove his/her employment period. In such cases, they look for the joining date. 

Location of The Company

The fifth information every HR manager should include in the letter is the right address of the office where the new employee is supposed to work. This is certainly important for MNCs and large organizations that have different branches and offices. 

So, these are the top five details that should never be forgotten in an offer letter format. Last but not least, before sending the letter to the employee, HR managers should always proofread it and make sure that there is no mistake. Once it is done, the letter will be good to go!