With numerous stages and people involved in discovering that perfect candidate, it can be tricky to know when to move forward after the interview to extend a job offer letter.
So, how do you take the next step with a job offer? Specifically, what are the steps involved, what points should you consider, and when should you send an extended job offer letter? In this article, we will discover everything there is to know about extending a job offer, but first, let's define the job offer.
What’s an Extended Job Offer?
An extended job offer happens once you have found the perfect candidate and want to proceed with offering employment. When you formally offer a job, you should do so in writing. The most thorough extended offers include specific terms of employment and the complete job details and requirements.
Extending a job offer letter is the step between selecting the perfect candidate and onboarding them into your team.
When Do You Send an Extended Job Offer?
In short — whenever you’re confident you have found the right person for the job. You might already have a verbal agreement to accept this offer, but you must go from an informal verbal offer to a formal job offer. In addition, you’ll want to gauge your candidate’s seriousness and interest by asking questions such as:
Do you have concerns about the job?
What are your goals for employment?
What is your opinion on the extended offer?
What would you do if you received a counteroffer?
If your candidate responds positively and/or in a way that fits your company values and goals, it's time to extend a job offer letter. So, what exactly should you include in the offer?
What Should Be Included in an Extended Job Offer?
The extended job offer letter must consider many things and communicate clearly with the employee — thus ensuring they know everything necessary. This letter can also save your company from legalities in the future, so a well-written extended offer letter has much more to it than you may at first believe. Here's everything you need to include.
Job Description
The job description is a crucial element when extending a job offer letter. It should include information such as the position of job title, the type of employment (full-time, part-time, remote position, etc.), a brief description of the role, and a list of responsibilities.
You don't have to go into great detail here as long as this section communicates what the employee will do.
Benefits and Salary
Another critical factor, and one of the most intriguing to the employee, is the benefits and entitlements section. This section can include things such as:
Paid leave
Insurance
401K payments
Salary
Bonuses
While the benefits will be company-wide, the salary must be specific to the individual's role and skillset. Ensure you are precise when stating the hourly rate or annual salary. Double-checking the salary and employment terms will save you a lot of time, money, and potential legal issues should you or the employee have to terminate the employment.
Dates
Important dates are crucial in any job offer letter. The offer letter must state when the employee should start work, how long any evaluation periods last, and when the job offer expires.
At-Will Employment
An extended job offer letter is not a contract of employment. This at-will employment section of your offer letter should be carefully worded and state that the company and employee can terminate the employment at will. In this section, avoid specific employment periods and instead note that this is NOT a contract. This wording can prevent legal problems from occurring in the future.
Contingencies
Contingencies and conditions of employment are crucial elements of an extended offer. Make sure you state that the offer only stands if the employee undergoes a successful background check, reference check, and proof of visa/right to work in the country. The contingencies should also include proof of education and/or evidence of certificates if relevant for the role.
Confidentiality Agreement
This section can be a little tricky to word, which is why a well-written template can come in handy. However, the confidentiality agreement element to the offer letter should include an agreement not to release any company information to which the employee may have access. This agreement is crucial for legal reasons.
Signatory Area
For any extended job offer, a signatory line is crucial. This area covers the confidentiality agreement and allows the employee to clearly state they have understood and agree to the offer conditions.
Why Do You Need a Templated Job Offer?
Although you can write an extended job offer letter from scratch, you might find it time-consuming. Crafting the type of letter that avoids legal technicalities while simultaneously including everything your employee needs to know about the offer can be very tricky. Why not make things easier with a template?
Using a templated job offer means you:
Save time, money, and resources.
Avoid legal technicalities.
Ensure everything is included (streamlining the hiring process).
Have clear communication between company and employee.
These are just some reasons that print/paper and email templates can be beneficial when extending a job offer letter.
Tips for Extending a Job Letter
Pre-Closing
For your ideal candidate or most promising candidates, you should always pre-close them before the interview process is over. Rather than a formal offer, the pre-close should hypothetically suggest salary, job description, responsibilities, and potential start dates to gauge the candidate's interests and reaction.
Formality
The extended job offer should always be formal and done in writing, not over the phone or in person. This is so that you cover all bases within a well-written letter to communicate responsibilities, contingencies, and confidentiality agreements. All essential aspects of the extended offer must be straightforward to avoid potential legal complications.
Extending a Job Offer Letter - Template
Date
Company
Company Phone
Company Address
Address 2
Dear Name,
On behalf of Company, we are pleased to offer you a position as Job Title. If you decide to join us, the terms of your employment will be as such:
Responsibilities will include but are not limited to:
List job duties
Reports to: Name
Hourly Wage: $
Employment Classification: full-time/part-time or non-exempt/exempt.
We would like you to start work on date. A summary of your benefits is enclosed with this letter. There will be an initial review period of 60 days of employment, and the end of that review will occur around date. If you have any questions, please contact HR Manager name and email.
Company is excited about your joining and looks forward to a beneficial and productive relationship. Nevertheless, you should be aware that your employment with Company is for no specified period and constitutes at-will employment, including the 60-day review period. As a result, you are free to resign at any time, for any reason, or no reason.
Similarly, Teamworks is free to conclude its employment relationship with you at any time, with or without cause and with or without notice. We request that, in the event of resignation, you give Company at least two weeks’ notice.
The Company reserves the right to conduct background investigations and/or reference checks on all of its potential employees. Your job offer, therefore, is contingent upon a clearance of such a background investigation and/or reference check. Company will need to complete its background check before you can start work.
For purposes of federal immigration law, you will be required to provide to the Company documentary evidence of your identity and eligibility for employment in the United States. As a Company employee, you will be expected to abide by the Company's rules and standards. Specifically, you will be asked to sign an acknowledgment that you have read and understand the Company's rules of conduct which are included in the Company Handbook.
To accept the Company offer, please sign and date this letter in the space provided below or send your response to the email address. This letter, along with any agreements relating to proprietary rights between you and the Company, have set forth the terms of your employment with the Company and supersede any prior representations or agreements including, but not limited to, any representations made during your recruitment, interviews or pre-employment negotiations, whether written or oral. This letter, including but not limited to its at-will employment provision, may not be modified or amended except by a written agreement signed by the President of the Company and you. This offer of employment will terminate if it is not accepted, signed, and returned by date and time.
We look forward to hearing from you about this offer. Please indicate your acceptance of our offer by signing below and returning a copy of the letter or emailing email address with your answer no later than expiration date and time.
Sincerely,
Name
Title
I accept/decline (please circle one) Company's offer of employment. I understand that my employment with Company is considered “at will,” meaning that either the company or I may terminate this employment relationship at any time with or without cause or notice.
Signature: ___________________________________________________________________________
Name (print): _________________________________________________ Date: _________________
Benefits:
Full-time work paid at $15/per hour
Health Insurance company pays 50% of employee premium initially
Optional Dental and Vision Insurance
40 hours PTO initially
11 paid holidays
$10,000 life insurance policy
401k up to 4% match
Flex Spending Account
Employee Assistance Program
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