Standard D7 Explained

Why is it important to give a letter of employment to all individuals who are offered a position? Although many organizations prefer to extend offers of employment in person or over the phone,¹ a formal letter of employment allows an organization to clearly communicate its expectations to new recruits, ensuring that they comprehend the terms of their employment² including salary, benefits, reporting and supervision relationships, as well as any conditions related to the offer. A letter of employment not only ensures shared understanding between your organization and a potential employee, but creates a formal record that the terms of employment are fully understood.

What should be included in a letter of employment?³

• Start date of employment
• Job title
• Starting salary or wage range
• Hours of work
• Notice period for resignation and termination
• Probationary terms
• Instructions on how to accept the offer of employment
• Any requirements for criminal records checks, security clearance, etc.
• Description of employee benefits
• Conditions of the offer if applicable
• Reporting or supervisory relationships
• Accommodation needs as agreed during the recruitment process if applicable
• Information on how to access HR policies and confirmation that the employee must adhere to them
• End date of employment for fixed term positions
• Reference to union status if applicable
• Cost of living allowance if applicable⁴

From "Accreditation Preparation Workbook Section D: Staff Management,"  Katharine Zywert, Social Prosperity Wood Buffalo at the University of Waterloo, 2013.

1. “Extending an Offer,” Nonprofit Hiring Toolkit,” The Bridgespan Group, 2012.
2. “Selection & Hiring,” Getting the Right People, in the HR Council for the Nonprofit Sector’s HR Toolkit.
3. “HR Management Standards: Second Edition,” HR Council for the Nonprofit Sector.
4. In Fort McMurray, Alberta, certain nonprofit staff positions qualify for a cost of living adjustment depending on the source of funding.