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Offer letter
A clear offer letter with role, pay, joining date, and key terms.
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Compensation
Salary revision letter
A letter that communicates a pay change, the effective date, and the reason.
- Type
- Compensation
- When to use
- After appraisal or promotion
- Format
- Editable template
- Review by
- HR and legal
What it must include
- Employee name, designation, and effective date.
- The old and new compensation, with the new breakup.
- A short note on the reason - performance or promotion.
- Any change in designation or grade.
Benefits
- Communicates pay changes clearly and respectfully.
- Avoids mismatches between letter and payroll.
- Keeps a record for audits.
- Builds trust through transparency.
Template - copy and edit
5 paragraphs - click Copy to use one.
- Date: [date] - To: [Employee name]
- Subject: Revision in compensation
- Dear [Name], in recognition of your performance, we are pleased to revise your annual CTC from [currency] [old amount] to [currency] [new amount], effective [date]. Your revised salary breakup is attached as Annexure A.
- Your designation will [remain/change to] [Designation]. All other terms of your employment remain unchanged.
- Congratulations, and thank you for your contribution. Sincerely, [Name], [Designation]
Tips
- Discuss it in person before sending the letter.
- Keep the breakup consistent with payroll.
- Treat salary information as confidential.
Mistakes to avoid
- Letter issued before the employee is told.
- Mismatch between letter and payroll.
- Disclosing other employees’ pay.
These templates are general starting points, not legal advice. Have your HR and legal advisors review them against your contracts and the laws that apply to you before use.
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