Layoff Letter Due to Slow Business

A layoff letter is a kind of termination letter to the employee by the employer due to restructuring, economic downturns, relocations or mergers, etc. It can be either temporary or permanent depending upon the situation of the layoff and it has nothing to deal with the employee’s performance and work.

A layoff is always a grim issue at the end of employees and employers both. A sudden termination can bring huge tension on employees’ end due to the financial disabilities and imbalances generated. On the other hand, the company faces gruesome circumstances whilst dealing with the reasons behind the layoff and sudden reduction in the workforce.

Similarly eliminating employees who have been working in the company for several years and have spent a huge amount of time working for the business along with great outcomes bore by the sincere efforts and struggles of the employees is an unpleasant experience. The company has to eliminate many astounding and brilliant heads due to the decision to lay off.

Layoff due to slow business is termination based upon the lack of work and business going on like lazy cattle grazing in the fields. Lack of work leads to slow business which ultimately leads to financial difficulties in the company’s economic position and sometimes it takes the form of a reduction of no profit declining the company’s economic stability.

In these kinds of circumstances companies, laying off employees on the foundation of slow business and the loss of profit thus generated.

While writing such a letter keep company’s policies and established legalities in view. If the company has a legal advisor, then make sure the proceedings go through all the necessary legal acts establishing this act of layoff legal and plausible.

Moreover, write in an optimistic manner and inform the employees in a calm and polite manner telling them about the circumstances leading to the layoff. Indicate your employee’s importance, capabilities, and working quality wishing them a finding a better career and job. Make outplacement sure if there is any space for the company to do so.

The following two letters are sample letters informing layoff due to slow business.


Re. Temporary Layoff due to Slow Business

Dear Jen,

I regret to inform you that you have been laid off from the position of Assistant Manager permanently due to certain grave circumstances. The letter intends to tell you the reasons behind the layoff and the company’s staggering position. The company is suffering from a slow business due to which profit of the company has been turned into a loss. Due to this, it has become tough for the company to manage the budget and finance thus related. To bring the situation under control and make things better it has been decided to terminate 20 employees from the company.

I am sorry to inform you that you are also included in the list. We have tried a lot to explore other options to handle the situation and make circumstances favorable but in vain. Heavyheartedly, we decided to make terminations.

We admit and appreciate your contribution to making this company a bright star in the world of the business. Your services will always be remembered as a vital asset. Till the end of this week, you will be contacted by the HR department and they will communicate about your working career and help you in this regard. I hope you will understand the situation and coordinate with the company. For more, write to [Email].

Thank you



File: Word (.docx) 2007+ and iPad
Size 23 Kb



Re. Temporary Termination due to Low Business work

Dear James,

I am Markel Axe, the Managing Director of KLC Groups. I aim to write to you to inform you about your temporary termination. I know the bad news is sudden, but I am happy that the nature of this termination is temporary. Due to slow business and less profit, the company is compelled to lay off a number of employees permanently and temporarily. You, fortunately, lie on the list of temporary terminated employees.

The company’s business has been destabilized due to slowness in business and production. It has affected investors, creditors, and contractors equally. The loss of profit has led to a low budget in the salary giving process due to this creeping and deliberate situation. We tried a lot to survive the situation through personal marketing progress, but it did not work successfully.

Due to the above-mentioned unpleasant situation, to curb and deal with it appropriately, a temporary termination comes your way. You will be paid $1000 to manage your finance and necessities. The termination will be effective from 1st August 20XX to 10th October 20XX. No other amount will be paid during this time period. This matter is the top priority for the company and so are you.

You are an asset to the company, and we appreciate your tireless services. I hope you will cooperate and understand the situation and coordinate in coping with it. For more details ring at [X]. Thank you.



File: Word (.docx) 2007+ and iPad
Size 22 Kb