A good job offer letter is an important part of the hiring process, and human resource departments use them to convey essential information to new hires. Getting a job offer is really exciting, but a new position often comes with many questions. An offer letter helps answer those questions, saving hiring managers' time and making the onboarding process more efficient. In this article, we discuss more information about offer letters, including what companies often include, a template and example and how people should respond.
What is a job offer letter?
This letter is a formal employment offer. Providing a written document protects the company and the potential employee by disclosing everything they need to know about the position. Most of the time, businesses call new hires to congratulate them on their new positions. They can also tell them in person. Then, they include all the details of the post in a job offer letter.
Many companies send their offer letters through email to get them to the candidates they choose as soon as possible. That way, people will have all the information they need to decide whether they should accept a job offer. Some job offers include employment contracts that new hires must review and sign, and an emailed offer letter can have a link to an employee website with an electronic version of the contract that you can submit online.
A job offer letter could be just the first step in negotiations with a potential employee. If you think you deserve a larger salary or better benefits, you can ask the company to amend the offer before signing the employment contract. Job offer letters are not legally binding documents, so employers can change or rescind their offer before the employment contract is signed or the employee starts working.
What does a job offer letter usually include?
An informative, engaging employment offer letter should clearly outline the package the company is offering. It should also encourage candidates to accept the offer by making the job seem as appealing as possible. When businesses prepare a job offer letter, they should include the following:
The name of the company and the title of the position
People often apply for multiple jobs, so it is important to state the company's name and the job title the candidate will fill. If the offer letter is an email, employers can put this information in the subject line. Mentioning the business name and job title in the first one or two sentences is a good idea as well. Many businesses also include a high-resolution image of the company logo to catch the attention of readers and make the letter appear more professional and authentic.
Employment status and work hours
The offer should state whether the position is part time or full time and what hours the new hire will be working. It should also tell people whether they will be employees or independent contractors and whether pay is based on the number of hours the employee works, a regular salary or the work the employee completes.
The location where the new hire will work and when they will start their new job
People need to know where and when they should report for their first day of work. Employers should include the address and mention any landmarks that will help new hires find their way.
A brief job description
Job offer letters should include details about what the new hire will be doing. The offer letter may talk about what a typical day will be like, the responsibilities of the role, how much the employee might have to travel and the name and job title of the supervisor. This helps remind people who may be attending multiple interviews about the position's requirements and the company. It also prevents misunderstandings.
Employers use the job offer letter to explain the company's compensation package clearly. They will include exactly how much the new hire will make on an hourly or annual basis and whether bonuses or commissions are available for good performance.
The benefits that come with the job
Summarizing the key benefits of the position can encourage the candidate to accept the offer. Common benefits include insurance coverage, RRSPs or Registered Retirement Savings Plans, access to expense accounts, the amount of vacation time employees can enjoy each year, continuing education assistance, flexible work hours and the option to work from home. Employers usually include the details of these benefits, like how to sign up for insurance coverage, in an orientation package or employee handbook. People typically get access to this information after they accept the offer.
Read More: How to Accept a Job Offer
The things new hires should do before their first day
People often need to submit copies of documents to prove that they can legally work in Canada, confirm their address and contact information, sign an employment contract or sign a confidentiality agreement. If a drug test is required, employers should tell employees when and where they must appear.
A closing statement
Employers will typically end the offer letter by expressing excitement about welcoming the candidate to the team. The closing statement will also provide contact information if the new hire has questions and let them know when the employer needs to hear from them.
An expiration date for the offer
Many job offers expire, and people who don't respond by providing all the information employers need and signing contracts if necessary will forfeit the position to another candidate. Many employers will give candidates at least a week to make a decision. Candidates may want to research the company or the average salary for the position. They may also speak with their current employer and ask them if they can match the pay and benefits of the potential new job.
An example of a job offer letter
Employers and potential employees should know what a typical offer letter looks like. Here is an example of a job offer letter:
123 Winding Road
Red River, ON K2N 1C7
Your extensive experience as a painter and your keen eye for new talent makes you an ideal fit for our company. Cherry Gallery is happy to offer you the head curator position for our new gallery space in downtown Red River. The head curator supervises other employees, plans gallery events and communicates with artists and visitors. Head curators also choose the most creative, unique, beautiful art available for gallery display. They keep track of the most popular types of art along with any changes in the industry.
As we discussed by phone, you will work Tuesday through Saturday from 11:00 a.m. to 7:00 p.m. We host gallery events every few months, and the head curator is expected to attend. These fun parties offer fine wine and gourmet food, and many successful business people and celebrities celebrate with us. You will start work on January 1, and the starting salary is $55,000 per year. You will be paid every two weeks, and your first paycheck should arrive the week of January 17. Direct deposit is available. Your insurance benefits will be available on April 1, after your probationary period, and you can sign up for medical, dental or vision coverage. You will also start accruing vacation days after April 1.
To accept this job offer, visit the website below and review your employment contract carefully. Then, type your full name in the field below and click "Accept."
Once we get your electronic signature, we will send you an onboarding package with a copy of the employee handbook and instructions about signing up for insurance and retirement accounts. If we do not hear from you within two weeks, or November 15, we will need to offer the position to other applicants. Please let us know about your decision so that we can make you a member of our team as soon as possible. We look forward to hearing from you!
Cherry Gallery Owner
Read More: Job Offer Letter Format With Template
What you should do after you get a job offer letter
You should read your job offer letter carefully. Pay special attention to the compensation, the benefits, the start date and when you need to reply to the offer. Make sure the information in the letter reflects the job you applied for accurately, and ask about any incorrect information. If you decide to negotiate for additional benefits of compensation, speak to the hiring manager as soon as possible. If the job has a probationary period, reschedule any doctor's appointments, vacations or other activities during this time.