NOTICE OF EMPLOYMENT TERMINATION
(Pennsylvania)
[// GUIDANCE: This template is drafted for use by Pennsylvania employers. It is intended to serve as a stand-alone termination letter (not a separation agreement or release). If you will also request a waiver of claims or provide severance, attach a separate, compliant release agreement rather than expanding this letter.*]
TABLE OF CONTENTS
- Document Header
- Definitions
- Operative Provisions
3.1 Termination of Employment
3.2 Final Pay & Accrued Benefits
3.3 Continuation of Benefits (COBRA)
3.4 Unemployment Compensation Information
3.5 Return of Company Property & Ongoing Obligations - Representations & Warranties
- Covenants
- Dispute Resolution
- General Provisions
- Execution Block
1. DOCUMENT HEADER
Company: [COMPANY LEGAL NAME], a [STATE] [ENTITY TYPE] (“Company”)
Employee: [EMPLOYEE LEGAL NAME] (“Employee”)
Effective Date: [DATE OF LETTER]
Separation Date: [CLOSE OF BUSINESS ON _ , 20___]
Recitals
A. Employee has been employed by Company pursuant to the terms and conditions of Company’s employment policies and any applicable agreements.
B. Company has elected to terminate Employee’s employment, and desires to set forth the terms of separation in accordance with Pennsylvania and federal law.
2. DEFINITIONS
For purposes of this Notice, the following terms have the meanings indicated below. Terms defined herein and used in any plural or singular form shall have the corresponding meaning.
“Accrued Benefits” – all unpaid wages, salary, earned but unused PTO, expense reimbursements properly submitted, and any other amounts legally due through the Separation Date.
“COBRA” – the Consolidated Omnibus Budget Reconciliation Act of 1985, 29 U.S.C. § 1161 et seq., and the regulations thereunder.
“Final Pay Date” – the next regularly-scheduled payroll date following the Separation Date, or such earlier date as Company may elect.
“Separation Date” – the close of business on the date stated in the Document Header, which shall be Employee’s last day of employment for all purposes.
3. OPERATIVE PROVISIONS
3.1 Termination of Employment
Company hereby notifies Employee that Employee’s employment with Company will terminate as of the Separation Date. Employee shall cease accruing compensation, benefits, and other privileges of employment as of that date, except as expressly provided herein or as required by law.
3.2 Final Pay & Accrued Benefits
(a) Pursuant to the Pennsylvania Wage Payment and Collection Law, 43 P.S. § 260.5(a), all Accrued Benefits will be paid no later than the Final Pay Date.
(b) Deductions will be taken only as permitted by law and any applicable, voluntary wage-deduction authorizations in effect.
(c) An itemized statement reflecting the calculation of Accrued Benefits will accompany the payment.
[// GUIDANCE: Ensure the Final Pay Date coincides with the “next regular payday” to comply with § 260.5(a). If a sooner payout is administratively feasible, consider issuing payment on the Separation Date.]
3.3 Continuation of Benefits (COBRA)
If Employee is enrolled in Company’s group health plan on the Separation Date, Employee will receive a separate COBRA Election Notice by first-class mail to Employee’s last known address within the time required by COBRA. The notice will describe:
• The right to elect continuation coverage;
• The election period; and
• The applicable premium amounts and payment procedures.
Coverage will terminate on the Separation Date unless and until Employee timely elects and pays for continuation coverage as detailed in the COBRA Election Notice.
3.4 Unemployment Compensation Information
Employee may be eligible to apply for unemployment compensation benefits through the Pennsylvania Department of Labor & Industry (“DLI”). Information and on-line filing are available at https://www.uc.pa.gov or by calling 1-888-313-7284. Eligibility determinations are made solely by DLI; Company will respond truthfully to all DLI inquiries.
[// GUIDANCE: Pennsylvania employers must provide departing employees with Form UC-1609, “Employer Information for Unemployment Compensation.” Attach the form or direct Employee to the on-line resource if issuing electronically.]
3.5 Return of Company Property & Ongoing Obligations
(a) On or before the Separation Date (or such later date agreed in writing), Employee shall return to Company all property, materials, documents (in any form), keys, access cards, and equipment belonging to Company.
(b) Employee remains bound by any confidentiality, intellectual-property, non-solicitation, or other post-employment obligations contained in [REFERENCE AGREEMENT/POLICY] (collectively, “Post-Employment Obligations”), all of which survive termination.
(c) Company reserves all rights and remedies, at law or in equity, in the event of breach of the Post-Employment Obligations.
4. REPRESENTATIONS & WARRANTIES
4.1 Employee represents that Employee has not:
(a) Removed or misused any confidential or proprietary information of Company;
(b) Modified, destroyed, or deleted any Company data other than in the ordinary course of duties; or
(c) Caused or threatened any action that would interfere with Company’s business or reputation.
4.2 Employee acknowledges that, other than the payments and benefits expressly set forth in Section 3, Employee has been paid all wages, commissions, and benefits due through the Separation Date.
5. COVENANTS
5.1 Non-Disparagement. Employee agrees not to make statements, orally or in writing, that disparage or portray Company or its personnel in a negative light.
5.2 Cooperation. Employee shall reasonably cooperate with Company in any transition matters and in connection with any claim, investigation, or litigation relating to events that occurred during Employee’s employment, provided that such cooperation does not materially interfere with any new employment and Company reimburses reasonable out-of-pocket expenses.
6. DISPUTE RESOLUTION
This Notice shall be governed by the substantive laws of the Commonwealth of Pennsylvania (without regard to conflicts-of-law principles). Any dispute arising out of or relating to this Notice or Employee’s employment shall be brought exclusively in the state courts located in [COUNTY], Pennsylvania.
[// GUIDANCE: Metadata specifies “state_court” and no arbitration. If Company policy mandates arbitration, revise accordingly and provide a compliant arbitration provision under the Federal Arbitration Act.]
7. GENERAL PROVISIONS
7.1 Entire Agreement. This Notice constitutes the entire understanding of the parties with respect to the subject matter herein and supersedes any prior oral or written communications relating thereto.
7.2 Amendments. No modification of this Notice shall be effective unless in writing and signed by an authorized representative of Company.
7.3 Severability. If any provision of this Notice is held invalid or unenforceable, the remaining provisions shall remain in full force and effect and shall be construed to best effectuate the parties’ intent.
7.4 No Waiver. Failure by either party to enforce any provision of this Notice shall not constitute a waiver of such provision or of any other provision.
7.5 Assignment. Employee may not assign any rights or obligations under this Notice. Company may assign its rights and obligations to any successor or affiliate.
7.6 Electronic Signature. A manually-signed original, faxed copy, PDF, or electronic signature of this Notice shall be deemed an original and enforceable for all purposes.
8. EXECUTION BLOCK
IN WITNESS WHEREOF, the parties hereto have executed this Notice as of the Effective Date set forth above.
COMPANY:
[COMPANY LEGAL NAME]
By: ____
Name: [TYPED NAME]
Title: [AUTHORITY TITLE]
Date: ___
EMPLOYEE ACKNOWLEDGMENT:
I acknowledge receipt of this Notice of Employment Termination and understand the information contained herein.
[EMPLOYEE NAME]
Date: ______
[// GUIDANCE: Notarization is not generally required for a termination letter in Pennsylvania. Obtain Employee’s acknowledgment for recordkeeping; signature is not a legal prerequisite to effectiveness.]
© 20___ [COMPANY LEGAL NAME] — All rights reserved.