From the day someone is hired to the day they leave, a small set of letters records the relationship: what was promised, what was agreed, and how it ended. Getting them right avoids most employee disputes. Since November 2025, one of them, the appointment letter, is compulsory for every employee. This guide covers each letter in the order you'll need it.
The letters across the employee lifecycle
| Stage | Letter | Required? |
|---|---|---|
| Hiring | Offer letter | Standard practice |
| Joining | Appointment letter | Mandatory under the labour codes |
| End of probation | Confirmation or extension letter | Strongly advised |
| Every review cycle | Appraisal / increment letter | Strongly advised |
| Misconduct or performance | Warning letter, show-cause notice | Needed before serious action |
| Any time on request | Salary certificate | Standard practice |
| Exit | Relieving and experience letters | Expected; often required by the next employer |
Offer letter
The offer letter tells a candidate you want to hire them and on what broad terms. It should include:
- Role, department and reporting manager.
- CTC with a breakup, showing fixed and variable pay separately.
- Joining date and work location (or remote/hybrid terms).
- Probation period, notice period and key conditions such as background verification.
- A date by which the candidate must accept.
Avoid surprises: a CTC that hides gratuity, insurance or a large variable component is the most common reason new hires feel misled. See the CTC vs in-hand salary guide.
Offer Letter GeneratorCreate a clear offer letter with salary breakup as a PDF.Appointment letter (now mandatory)
The Occupational Safety, Health and Working Conditions Code, in force from 21 November 2025, requires every employer to issue an appointment letter to every employee, for establishments it covers. Existing staff were to receive one within three months of the Code taking effect; if you missed that, issue one now. Where the offer letter is a proposal, the appointment letter is the formal record of employment. It should cover:
- Employee name, designation, category of work and date of joining.
- Wages and the salary structure, kept within the 50% wage rule.
- Social security details: PF, ESI where applicable, and gratuity eligibility.
- Working hours, leave entitlement and place of work.
- Probation, notice period and grounds for termination.
- Confidentiality, IP and code-of-conduct clauses, if any.
Fixed-term contracts deserve special care: under the labour codes, fixed-term employees get the same pay and benefits as permanent staff in the same role, and gratuity after one year. State the end date and these terms clearly.
Probation confirmation or extension
Probation is usually 3 to 6 months. At the end, the employee should hear one of three things in writing: confirmed, extended (with the reason, the new end date and what needs to improve), or released as per the contract. Silence creates ambiguity; many policies treat an employee as confirmed if nothing is said, so don't let the date pass.
Probation Confirmation Letter GeneratorWrite a confirmation or extension letter in a minute.Appraisal and increment letter
After each review, put the outcome in writing: rating, new CTC with breakup, effective date, and any change in role. If the increment changes basic pay, remember that PF, gratuity and leave encashment change with it.
Appraisal & Increment Letter GeneratorCreate an appraisal letter with the revised salary table.Warning letter and show-cause notice
A warning letter records a problem and gives the employee a chance to correct it. For anything that could lead to dismissal, follow a fair process. Courts look at whether the employee was told the charge and allowed to respond.
- Verbal discussion for a first, minor issue, noted in the file.
- Written warning describing what happened, when, and what is expected from now on.
- Show-cause notice for serious or repeated issues, asking the employee to explain in writing, usually within 3 to 7 days.
- Inquiry for major misconduct, where the employee can present their side.
- Decision in writing, proportionate to what was proved.
Facts, not labels
Weak: "You are careless and unprofessional."
Better: "On 4, 11 and 18 September you logged in after 11:00 am without informing your manager, against the attendance policy shared on 1 April. From now on, inform your manager before 9:30 am if you will be late."
Relieving and experience letters
The relieving letter confirms that the employee resigned, served notice (or was released) and has been relieved on a given date. New employers often ask for it before onboarding. The experience letter confirms role, dates of employment and, optionally, a short note on conduct. Some companies combine the two.
Keep them factual. If there's a dispute over notice or dues, settle it separately rather than withholding a letter the employee needs to start their next job.
Experience & Relieving LetterCreate an experience letter on your letterhead.Salary certificate
Employees need a salary certificate for loans, visas, rental applications and credit cards. It states their designation, date of joining and current monthly salary, usually with gross and net figures. Issue it on letterhead, signed by HR or finance.
Salary Certificate GeneratorGenerate a salary certificate for a bank or embassy.Common mistakes
- No appointment letter because "the offer letter covers it". Under the labour codes it doesn't.
- CTC numbers that don't add up between the offer, appointment letter and payslip.
- Unenforceable clauses, such as a ban on working for any competitor after leaving. Post-employment non-competes are generally void in India.
- Warnings written as opinions rather than dated facts.
- Withholding experience letters to pressure an employee over a dispute.
- No reference number or signature, which makes letters easy to dispute or forge.
At the other end of the relationship, see the full and final settlement guide.
Frequently asked questions
Is an appointment letter mandatory in India?
Yes. The Occupational Safety, Health and Working Conditions Code, in force from 21 November 2025, requires employers to issue an appointment letter to every employee, in establishments it covers. Existing employees were to receive one within three months of the Code taking effect.
What is the difference between an offer letter and an appointment letter?
An offer letter is a proposal made before joining, which the candidate accepts. An appointment letter is issued on joining and records the actual terms of employment: designation, wages, benefits, working hours, leave and termination terms.
Can a company withdraw an offer letter?
An offer can be withdrawn before it is accepted, and offers often allow withdrawal if background checks fail. Withdrawing after acceptance without a valid reason can expose the company to a claim for losses, especially if the candidate resigned from another job.
Is a non-compete clause in an appointment letter valid?
Restrictions during employment are generally valid. Restrictions on working for a competitor after you leave are generally void under section 27 of the Indian Contract Act. Non-solicitation and confidentiality clauses are treated differently and often upheld.
Can an employer refuse to give an experience letter?
There is no single law requiring an experience letter for all employees, but refusing one is poor practice and many standing orders give workers a right to a service certificate. Withholding it to settle a dispute is likely to be seen as unfair.
How many warnings are needed before termination?
There is no fixed number in law. What matters is a fair process: the employee should know the charge, have a chance to explain, and the action should be proportionate. For serious misconduct a single show-cause notice and inquiry may be enough.
Can these letters be signed digitally?
Yes. Electronic signatures and digitally signed PDFs are valid under the Information Technology Act. Many companies also accept a scanned signature on letterhead, though a digital signature is harder to dispute.