Termination Letter - California
Termination Letter
[EMPLOYER NAME]
[EMPLOYER ADDRESS]
[CITY, STATE, ZIP]
[PHONE OR EMAIL]
Date: [__/__/____]
To: [EMPLOYEE NAME]
Delivery method: [HAND DELIVERY / MAIL / ELECTRONIC DELIVERY]
Dear [EMPLOYEE NAME]:
This letter confirms that [EMPLOYER NAME] is ending your employment effective [__/__/____]. Your last day worked is [__/__/____]. [If appropriate, state a concise, accurate reason: REASON.] Please direct transition questions to [CONTACT NAME AND CONTACT INFORMATION].
Final pay
Your final payment of $[AMOUNT], covering wages earned and unpaid at discharge and vested vacation payable under the applicable policy or agreement, is [ENCLOSED / DELIVERED AT SEPARATION / DEPOSITED WITH YOUR VOLUNTARY AUTHORIZATION]. It is due and payable immediately upon discharge. An itemized wage statement accompanies the payment. Contact [PAYROLL CONTACT] about the calculation or any other compensation due under an applicable agreement, plan, policy, or law.
Health coverage and benefits
Your active employee health coverage is expected to end on [__/__/____] under the applicable plan. The continuation, disability-extension, or conversion coverage options under employer-sponsored coverage for which you may remain eligible are: [LIST EACH APPLICABLE OPTION AND PLAN CONTACT, OR STATE NONE AFTER REVIEW]. [LIST OF ATTACHED PLAN OR INSURER NOTICES, IF ANY]. If federal COBRA applies, the plan administrator will provide a separate election-rights notice. This letter does not set an election deadline or replace the applicable plan notice.
Enclosed is the California Department of Health Care Services' Notice to Terminating Employees describing the Health Insurance Premium Payment Program.
Unemployment information
Enclosed are a completed Notice to Employee as to Change in Relationship and the Employment Development Department's For Your Benefit: California's Programs for the Unemployed (DE 2320). The Department determines eligibility for unemployment benefits.
Employer property
Please return [LIST OF PROPERTY OR “ANY EMPLOYER PROPERTY IN YOUR POSSESSION”] to [CONTACT] by [__/__/____], or contact that person to arrange its return. Final wages are not conditioned on returning property or signing this letter.
Sincerely,
[AUTHORIZED SIGNATORY]
[TITLE]
[EMPLOYER NAME]
Enclosures: Final payment and itemized wage statement; completed change-in-relationship notice; DE 2320; DHCS HIPP notice; [APPLICABLE COVERAGE NOTICES]
Sources and References
- California Labor Code §§ 201, 213, 226, 227.3, 2807 and 2808; and Unemployment Insurance Code § 1089: https://downloads.leginfo.legislature.ca.gov/pubinfo_2025.zip
- California EDD, required notices and pamphlets: https://edd.ca.gov/en/payroll_taxes/required_notices_and_pamphlets/
- California EDD, change-in-relationship notice: https://edd.ca.gov/siteassets/files/about_edd/pdf/noticetoemployeeastochangeinrelationship.pdf
- California EDD, DE 2320: https://edd.ca.gov/siteassets/files/pdf_pub_ctr/de2320.pdf
- California DHCS, Notice to Terminating Employees: https://www.dhcs.ca.gov/wp-content/uploads/2026/04/Notice-to-Terminating-Employees-2026.pdf
- 29 U.S.C. §§ 1161 and 1166: https://uscode.house.gov/us/usc/119-118/t29/s1161/ and https://uscode.house.gov/us/usc/119-118/t29/s1166/
About this template
- Last updated
- November 9, 2026
- Citations checked
- November 9, 2026
- Jurisdiction
- California
- Category
- Employment & HR
Legal authority
- Cal. Lab. Code § 201(a) (immediate wages at discharge)
- Cal. Lab. Code § 226(a) (itemized wage statement)
- Cal. Lab. Code § 227.3 (vested vacation)
- Cal. Lab. Code § 213(d) (authorized final-pay deposit)
- Cal. Unemp. Ins. Code § 1089 (unemployment materials and change notice)
- Cal. Lab. Code § 2807(a) (HIPP notice)
- Cal. Lab. Code § 2808(b) (health-coverage options notice)
- 29 U.S.C. § 1161 (federal COBRA continuation coverage)
- 29 U.S.C. § 1166 (federal COBRA notice)
Employment documents govern the relationship between a company and its workers, from offer letters and employment agreements through handbooks, performance reviews, and separations. Done right, they set clear expectations, protect against wrongful termination and discrimination claims, and give both sides a record to rely on. Done poorly, they invite lawsuits, agency complaints, and costly disputes.
Not legal advice
This template is provided for informational purposes. We recommend having an attorney review any legal document before signing, especially for high-value or complex matters.
Checked against the law it cites
A reviewer verified this template's legal citations against the official source on November 9, 2026.
Cal. Lab. Code § 2807(a) (checked November 9, 2026): "All employers, whether private or public, shall provide notification to former employees, along with the notification required by federal law pursuant to the Consolidated Omnibus Budget Reconciliation Act of 1985 (Public Law 99-272), of the availability of continued coverage for medical, surgical, or hospital benefits, a standardized written description of the Health Insurance Premium Program"
Cal. Lab. Code § 2808(b) (checked November 9, 2026): "All employers, whether public or private, shall provide to employees, upon termination, notification of all continuation, disability extension, and conversion coverage options under any employer-sponsored coverage for which the employee may remain eligible after employment with that employer terminates."
California DLSE, Paydays, pay periods, and the final wages (checked November 9, 2026): "UNLESS the employee has voluntarily authorized that deposit and provided that the employer complies with the provisions of Labor Code Section 213(d) relating to the payment of wages upon termination or quitting of employment."
Cal. Lab. Code § 213(d) (checked November 9, 2026): "If an employer discharges an employee or the employee quits, the employer may pay the wages earned and unpaid at the time the employee is discharged or quits by making a deposit authorized pursuant to this subdivision, provided that the employer complies with the provisions of this article relating to the payment of wages upon termination or quitting of employment."
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