Furlough Letter Guidance


An employee furlough refers to a temporary leave or modification of normal working hours for a specific amount of time. It’s a leave of absence given to an employee with the promise that they will still have their job once the leave is over. Don’t rush into implementing an employee furlough policy without talking to your lawyer or HR specialist first. If you decide that putting employees on furlough is the best option for you and your employees, then you need to prepare a notification letter. Your furlough notice letter should contain the following:

  • Address - This is a formal letter, a furlough notice should clearly state the date, employee’s name, and their address.
  • Purpose – State the purpose of the letter. Get straight to the point. Include the employee’s position, department, reason for the furlough, and information about any changes to employee benefits. It is advisable to tell the employee that this action does not reflect dissatisfaction in job performance.
  • Detail - Explain what a furlough is, determine the length of the furlough, and communicate employee benefits during this period to employees.
  • Future communication - Offer a way for the employee to keep in touch. End the letter on a positive note.

 An example of a furlough letter is here: Furlough Letter Template. It is very important that you check with a lawyer and/or an HR specialist before using this letter.

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