Appointment Letter

An appointment letter is the formal document a company issues to a new employee setting out the full terms of employment.

Company name*

Company address*

Employee's full name*

Employee's address*

Designation*

Department

Reports to

Date of joining*

Annual cost to company (Rs.)*

Salary breakup (basic, HRA, allowances)

Probation period (months)

Notice period after confirmation (days)

Place of work

Key responsibilities

Date of this letter*

State*

Format:

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[company_name] [company_address] Date: [letter_date] To, [employee_name] [employee_address] Subject: Letter of Appointment Dear [employee_name], We are pleased to appoint you to the position of [designation] with [company_name] ("the Company"), on the terms and conditions set out below. 1. POSITION AND REPORTING 1.1 Designation: [designation] 1.2 Department: [department] 1.3 Reporting to: [reporting_to] 1.4 Place of work: [work_location] The Company may, in the interests of its business, transfer or depute you to any other location, department, group company or associate, on terms no less favourable than those stated here. 2. DATE OF JOINING Your employment shall commence on [joining_date]. This offer is contingent on your joining on or before that date and on satisfactory verification of your credentials and background. 3. DUTIES AND RESPONSIBILITIES 3.1 Key responsibilities: [duties] 3.2 You shall also perform such other duties consistent with your position as may reasonably be assigned to you from time to time. 3.3 You shall devote your whole working time, attention and abilities to the business of the Company, and shall not, during the term of your employment, engage in any other employment, business or consultancy, whether for remuneration or otherwise, without the Company's prior written consent. 4. REMUNERATION 4.1 Your annual cost to company shall be Rs. [annual_ctc]. Salary breakup: [salary_breakup] 4.2 Salary shall be paid monthly, subject to deduction of tax at source and other statutory deductions as required by law. 4.3 Your remuneration is personal to you and confidential. You shall not disclose it to any other employee. 5. STATUTORY BENEFITS 5.1 To the extent applicable to the Company and to your employment, you shall be covered under the Code on Social Security, 2020 and the schemes framed under it, including provident fund and, where applicable, employees' state insurance, and contributions shall be made in accordance with that Code and those schemes. 5.2 Gratuity shall be payable in accordance with the Code on Social Security, 2020, on completion of the qualifying period of continuous service prescribed under that Code, or without that period in the cases where the Code so provides (for example, on death or disablement, or on a pro rata basis in fixed-term employment). 5.3 Leave entitlement shall be as per the Company's leave policy, read with the Shops and Establishments legislation applicable in the State of your posting. 6. PROBATION AND CONFIRMATION 6.1 You shall be on probation from the date of joining for the period stated below. Probation period (months): [probation_months] 6.2 The Company may extend the probation period, or confirm your appointment, by written communication. In the absence of written confirmation, you shall be deemed to continue on probation. 6.3 During probation, either party may terminate this employment by giving seven days' written notice, or salary in lieu thereof. 7. NOTICE PERIOD AND TERMINATION 7.1 After confirmation, either party may terminate this employment by giving written notice of the period stated below, or salary in lieu of the notice period. Notice period after confirmation (days): [notice_period_days] 7.2 The Company may terminate your employment forthwith, without notice or payment in lieu, in the event of misconduct, breach of the Company's policies, wilful neglect of duty, dishonesty, or any act prejudicial to the interests of the Company. 7.3 On cessation of employment for any reason, you shall immediately return all Company property, documents, data, devices and access credentials in your possession. 8. CONFIDENTIALITY 8.1 You shall keep confidential all trade secrets, business plans, client lists, pricing, technical data and other proprietary information of the Company and its clients, both during and after your employment. 8.2 You shall not use such information for any purpose other than the performance of your duties. 9. INTELLECTUAL PROPERTY All inventions, designs, software, works of authorship and other intellectual property created by you in the course of your employment and relating to the business of the Company shall vest absolutely in the Company, and you shall execute such documents as may be required to give effect to this. 10. CONDUCT AND WORKPLACE POLICIES 10.1 You shall comply with all policies, rules and codes of conduct of the Company as amended from time to time. 10.2 The Company is committed to a workplace free of harassment. The Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 applies to this workplace, and you shall comply with the Company's policy made under it. Complaints may be made to the Internal Committee constituted under that Act. 11. GOVERNING LAW AND JURISDICTION This appointment shall be governed by the laws of India, and the courts at the Company's registered office shall have jurisdiction over any dispute arising from it. 12. ACCEPTANCE Please confirm your acceptance by signing and returning the duplicate copy of this letter. We look forward to welcoming you to the team. Yours sincerely, For [company_name] Authorised Signatory Name: Designation: ACCEPTANCE BY EMPLOYEE I have read and understood the terms of this appointment and accept them. [employee_name] Date: ______________

Appointment Letter: what it is

An appointment letter is the formal document a company issues to a new employee setting out the full terms of employment. This version covers designation, place of work, duties, salary breakup, statutory benefits, probation, notice period, confidentiality, intellectual property, workplace conduct and jurisdiction, and ends with the employee's signed acceptance.

When you need this document

An employee has accepted the offer and joined, and the company needs to record the complete terms in one document.
A company wants clear written terms on probation, notice and termination to avoid later disputes.
An employer needs to put confidentiality and ownership of work created by the employee on record.
An employee needs a formal appointment letter for a bank loan, visa application or address verification.
A business is moving existing staff from informal arrangements to written terms.

What it covers

Designation, department, reporting manager and place of work, with a transfer clause.
Date of joining, duties, and a whole-time commitment clause restricting other work without consent.
Annual CTC, salary breakup, monthly payment and statutory deductions.
Statutory benefits such as provident fund, employees' state insurance where applicable, gratuity and leave.
Probation with seven days' notice, a stated notice period after confirmation, and termination for misconduct.
Confidentiality, intellectual property, workplace policies including the POSH Act Internal Committee, governing law and an acceptance section.

How to fill, sign and use it

Fill in the form on this page with the employee's details, salary breakup, probation months, notice days and duties, and check the preview.
Check the salary breakup adds up to the stated CTC and matches what was offered.
Check that statutory benefit references match current law, since many older labour statutes are now consolidated in the labour codes.
Print two copies on letterhead and have an authorised signatory sign both.
Give both to the employee, who signs the acceptance on the duplicate and returns it.
Keep the signed copy in the personnel file and give the employee their copy.

Documents to attach or keep with it

Signed offer letter or acceptance email, for reference.
Copies of the employee's identity, address and educational documents collected at joining.
Relieving letter from the previous employer, where applicable.
Company policies referred to, such as leave, conduct and the POSH policy.
Provident fund nomination and other joining forms.

The law behind it

An appointment letter is a contract of employment under the Indian Contract Act, 1872. Hours, leave and holidays for shop and office staff are governed largely by the Shops and Establishments law of the state where the employee works. Since 21 November 2025, the four labour codes have replaced many central labour laws, including the old provident fund, state insurance and gratuity Acts, and this letter now refers to the Code on Social Security, 2020 for those benefits. The Sexual Harassment of Women at Workplace Act, 2013 continues to apply. Restrictions on working elsewhere after employment ends are generally unenforceable under Section 27 of the Contract Act.

Common mistakes to avoid

Copying statutory references without checking whether the law has since been replaced by the labour codes.
Leaving the salary breakup blank or inconsistent with the CTC.
Not getting the duplicate signed and returned, so there is no proof the employee accepted the terms.
Adding a wide post-employment non-compete clause and assuming it can be enforced.

Appointment Letter: frequently asked questions

Is an appointment letter mandatory in India?

Under the labour codes, employers are expected to issue appointment letters to employees, and many state Shops and Establishments laws also require written terms or records. The exact obligation depends on the establishment and the state. In any case, a signed appointment letter is the employee's main proof of the terms agreed.

Does an appointment letter need stamp paper?

A standard appointment letter is commonly issued on company letterhead without stamp paper. Where the employer uses a detailed employment agreement signed by both sides, stamp duty may apply under the state's stamp law, and rates vary by state. Check local practice if you are converting this letter into a formal agreement.

Can the company extend probation?

This letter allows the company to extend probation in writing, and says the employee continues on probation until confirmed in writing. Extensions should be communicated clearly and within a reasonable time. Repeated or open-ended extensions often lead to disputes, so record the reason for any extension.

Is the non-disclosure clause valid after I leave?

Confidentiality obligations about genuine trade secrets and business information can continue after employment ends. They are treated differently from a clause that stops you working for a competitor, which is generally void under Section 27 of the Indian Contract Act. This letter has confidentiality and IP clauses but no post-employment non-compete.

Last updated 11 October 2026.

General information on Indian law, not legal advice for your situation. Stamp duty, registration and fees differ by state, so check with the local office or an advocate before you rely on it.

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