How To Accept A Resignation Letter In Australia

When an employee resigns, it’s important to respond clearly and professionally. Accepting a resignation letter isn’t just a courtesy - it triggers legal obligations around notice, final pay, handover, confidentiality, and workplace policies.

Handled well, the acceptance of resignation can protect your business, minimise disruption, and maintain a positive relationship with your departing team member. In this guide, we’ll walk through what “acceptance” really means, how to respond, what to include in your letter, and the key compliance steps to tick off in Australia.

Let’s break down your obligations step-by-step so you can close out employment confidently and on the right terms.

What Does “Acceptance Of Resignation” Mean For Employers?

In simple terms, the “acceptance” of a resignation is your written confirmation that you’ve received the employee’s resignation and recognise the employment will end on a specified date.

While a resignation is usually effective once given (the employee is ending their employment by choice), your acceptance letter matters because it:

• Confirms the final day of employment (or the end of the notice period)
• Sets expectations for handover, return of property and ongoing obligations (like confidentiality)
• Outlines how wages, unused leave and any other entitlements will be processed
• Addresses whether the employee will work their notice, be on garden leave, or be paid in lieu
• Creates a clear record for your HR and payroll files, which helps prevent disputes later

Your Employment Contract should already set out notice requirements, confidentiality and post-employment obligations. If you don’t have a robust contract in place for your staff, it’s worth updating your Employment Contract template so future resignations are smoother.

Step-By-Step: How Do I Accept A Resignation Letter Correctly?

Here’s a practical roadmap for employers in Australia.

1) Acknowledge Receipt Promptly

Send a short acknowledgement within 24-48 hours. Thank the employee, note you’ll confirm details shortly, and schedule a quick meeting to discuss dates and handover. Timely communication sets the tone and reduces uncertainty.

2) Check The Contract And Notice Period

Confirm the required notice period by reviewing the Employment Contract and any applicable modern award or enterprise agreement. If there’s a mismatch between the notice given and what’s required, address it in your acceptance letter. Our guide to the notice period explains how it’s calculated in Australia.

3) Decide How The Notice Will Be Managed

You typically have three options:

• Work out the notice period in the usual role
• Place the employee on garden leave (they remain employed and paid but don’t attend work)
• Provide or request payment in lieu of notice (ending employment earlier with pay for the notice period)

Choose the option that best protects your business, team and clients while remaining compliant with the contract and workplace laws.

4) Prepare And Send Your Acceptance Letter

Issue your acceptance in writing. Keep it clear and professional, covering the key elements set out below. If you need formal paperwork (like a settlement or deed) for a specific situation, consider using a tailored set of termination documents.

5) Plan The Handover And Secure Your Information

Agree on a realistic handover plan. Clarify what projects must be finished, who will take over responsibilities and when company property will be returned. Make sure access to systems and data is removed on the final day to safeguard confidentiality and client information.

6) Process Final Pay And Entitlements

Calculate any outstanding wages, allowances, unused annual leave and (if applicable) long service leave, and arrange payment within required timeframes. For a practical overview of what to include, see our employer guide to final pay.

7) Provide Any Required Certificates Or Confirmations

Depending on the circumstances, you may need to issue an employment or separation certificate and answer reasonable employment verification requests. Read more about your obligations when issuing a separation certificate.

What Should Your Acceptance Of Resignation Letter Include?

Your acceptance letter doesn’t need to be long, but it should be comprehensive. As a guide, include:

• Employee details and the date of their resignation
• Confirmation that you accept their resignation
• The final day of employment (and how the notice period will be handled)
• How final pay and entitlements will be processed (and when)
• Handover expectations and key dates (meetings, project wrap-ups, client introductions)
• Return of company property (laptop, keys, uniforms, credit cards, documents)
• Reminders about confidentiality, intellectual property and any post-employment restraints
• Who to contact for HR or payroll questions

Optional inclusions can be a thank-you note for their contribution and a brief outline of offboarding steps (e.g. exit interview, reference policy, system access removal).

If you’re formalising agreed arrangements beyond a simple resignation - for example, resolving disputes or setting special post-employment terms - you may also want a documented separation agreement or a deed of release to finalise matters cleanly.

Do You Have To Accept A Resignation? Common Scenarios

Most resignations are straightforward, but some situations need careful handling.

Short Or No Notice

If the employee provides less notice than required, check the contract. Some agreements allow you to withhold pay for the shortfall (subject to the Fair Work Act and any applicable award terms). Alternatively, you can agree to a shorter notice if it suits the business. If you prefer an earlier finish anyway, you might opt for payment in lieu of notice.

Resignation During Probation

Resignations in probation are common. The notice period may be shorter during probation if your contract says so. Even then, you still handle acceptance, handover and final pay as usual.

Withdrawing A Resignation

Employees occasionally ask to withdraw their resignation. You don’t have to agree. Consider operational impacts, budget and team dynamics. If you do agree, confirm in writing that the resignation is withdrawn and normal employment continues.

Misconduct Or Performance Issues

If a resignation arrives during a performance or conduct process, you can generally still accept it. That said, retain accurate records of any investigation or warnings in case they’re relevant later. Where there are sensitive issues, it may be appropriate to finalise terms using a deed in your termination documents to make sure obligations are clear.

Garden Leave vs Working Notice

Consider whether it’s safer to have the employee step away from clients, code repositories or strategic information. Garden leave can be a practical risk-management tool if your contract allows it, especially for client-facing, senior or technical roles.

Notice, Final Pay And Entitlements When You Accept A Resignation

Once you accept a resignation letter, your payroll and HR obligations kick in. Key points to cover include:

Notice Period

Confirm the correct notice from the contract and relevant award or agreement. If the employee’s notice doesn’t match, spell out how you’ll handle it - whether through working notice, garden leave, or paying (or deducting) the difference consistent with the notice period rules.

Payment In Lieu Of Notice

If you end employment earlier by paying out notice, clarify this in your letter and payroll instructions. Be precise about the last physical day worked versus the official date employment ends when you use payment in lieu of notice.

Final Pay

Final pay typically includes outstanding wages, allowances, commissions/bonuses (if applicable), accrued but unused annual leave, and potentially long service leave (jurisdiction dependent). Work to clear, published timeframes and document the calculation to avoid confusion. For a checklist approach, refer to final pay.

Leave During Notice

Employees can request leave during notice. Whether it’s approved is a business decision, subject to your policies and contract. If leave is taken, confirm how it affects the end date and any payroll impacts in writing to avoid misunderstandings.

Post-Employment Obligations

Your acceptance letter should remind the employee of ongoing obligations such as confidentiality, intellectual property ownership and any restraint of trade that applies. This reinforces existing contract terms and helps protect your business after they leave.

Record-Keeping, Handover And Protecting Your Business

Beyond payroll, an orderly offboarding protects your clients, data and team. Build these steps into your acceptance process:

• Handover Plan: Agree on priority tasks, key contacts and knowledge transfer sessions.
• Return Of Property: List the items to be returned and set a firm date (laptop, devices, keys, cards, files).
• System Access: Schedule access removal on the final day and document who’s responsible.
• Confidentiality And IP: Remind the employee of their obligations and, where appropriate, obtain written acknowledgements.
• References: Clarify your reference policy so expectations are managed.
• Records: Keep a copy of the resignation letter, your acceptance, and calculations for entitlements with your HR file.

If you’re resolving any specific issues as part of the resignation, consider formalising terms in a separation agreement or a deed of release (this can help bring finality and reduce future risk). For more complex exits, our termination documents package can be tailored to your situation.

Sample Acceptance Of Resignation Letter (What To Say)

Below is a simple structure you can adapt to your brand voice and policies. Keep it clear, polite and precise.

Subject: Acceptance of Resignation -

Dear ,

This letter confirms we have received and accept your resignation dated . Your final day of employment will be , which reflects notice period.

During your notice period, please work with on the handover of your responsibilities, including . Please return all company property (including ) by . Your access to company systems will cease on your final day.

Your final pay will include any outstanding wages and accrued entitlements payable under your Employment Contract and applicable laws. Payroll will process this by . If you have any questions about payroll or entitlements, contact .

We remind you of your ongoing obligations under your Employment Contract, including confidentiality and intellectual property. If you have signed any post-employment restraints, these continue to apply.

Thank you for your contribution to . We wish you every success in your next step.

Kind regards,

When To Get Legal Help

Most resignations are routine. However, it’s smart to seek advice if:

• You’re considering garden leave, waiving notice or payment in lieu of notice
• There are live disputes, potential claims, or sensitive IP/client issues
• Your contract doesn’t clearly cover notice, confidentiality or restraints
• You want to formalise terms via a deed or tailored termination documents
• You need to clarify what to include in a separation certificate or how to structure a separation agreement

Getting the paperwork right from day one makes offboarding simpler and reduces risk - for this resignation and the next.

Key Takeaways

• Accepting a resignation letter is more than a courtesy - it sets the end date, handover plan and confirms how you’ll process final entitlements.
• Your acceptance letter should clearly state the final day, how notice will be handled, what property is returned, and remind the employee of confidentiality and IP obligations.
• Confirm the correct notice period under the contract and any award, and decide between working notice, garden leave or payment in lieu.
• Process final pay promptly and keep a full record of your correspondence, calculations and offboarding steps.
• Use a tailored termination documents suite or a separation agreement where you need additional protections or to resolve issues cleanly.
• Clear communication and a structured handover protect your clients, data and team - and help maintain a positive ongoing relationship with the departing employee.

If you’d like a consultation on accepting a resignation letter and offboarding an employee in Australia, you can reach us at 1800 730 617 or team@sprintlaw.com.au for a free, no-obligations chat.