Retrenchment Notice Draft — Section 25F Format

[Company Letterhead / Name & Address of Employer]

Ref: [HR/RET/____/20__]                              Date: [DD-MM-YYYY]

To,
Shri/Smt. [Name of Workman]
[Designation], Ticket/Emp. No. [___]
[Residential Address].

Sub: Notice of Retrenchment under Section 25F of the Industrial
     Disputes Act, 1947.

Dear Shri/Smt. [Name],

1. You have been employed with [Company] as [Designation] since
   [Date of Joining] and have completed [___] years and [___] months
   of continuous service (not less than one year of continuous service
   within the meaning of Section 25B).

2. Owing to [reason — e.g. surplus staff / discontinuation of the
   [department] / reorganisation], the Management is constrained to
   retrench your services with effect from [DD-MM-YYYY].

3. In compliance with Section 25F of the Industrial Disputes Act, 1947,
   the Management hereby:

   (a) gives you ONE MONTH'S notice in writing indicating the reason
       for retrenchment, OR pays you wages in lieu of such notice
       amounting to ₹[one month's wages];

   (b) will pay you retrenchment compensation equivalent to
       FIFTEEN DAYS' AVERAGE PAY for every completed year of
       continuous service (and any part thereof in excess of six
       months), computed as:

           15/26 x ₹[monthly wages] x [completed years] = ₹[amount];

   (c) has served / is serving notice to the appropriate Government
       [and, where Section 25N applies, sought prior permission].

4. Your last working day shall be [DD-MM-YYYY]. All statutory dues —
   notice pay, retrenchment compensation, gratuity, earned leave
   encashment and PF settlement — will be paid on your relieving.

5. Please note that under Section 25H you have the right of re-employment
   should the Management propose to fill similar vacancies in future.

Kindly acknowledge receipt.

Yours faithfully,

For [Company]

____________________
[Name & Designation, Authorised Signatory]

Copy to: (1) The [appropriate Government / Labour Commissioner] in
Form P-A/Form QA; (2) Personal file.

Encl.: Computation sheet of retrenchment compensation.