Proof Of Employment Letter Template For Australian Employers

If you employ staff (even casually), it’s only a matter of time before you’ll be asked to provide a proof of employment letter.

This might come from your employee directly, or from a third party like a lender, landlord, childcare provider, or government agency. And as a small business owner, you want to help your team - without accidentally creating legal risk for your business.

This guide walks you through what a proof of employment letter is, when you may need to provide one, what to include (and what to avoid), and includes a practical proof of employment letter template you can adapt for your business.

Tip: If you want something more formal or you’re being asked to certify specific details (like duties, remuneration structure, or end dates), you may need a different document, such as a certificate of employment template.

What Is A Proof Of Employment Letter (And Why Are You Being Asked For One)?

A proof of employment letter (sometimes called an employment confirmation letter) is a short letter from an employer confirming that a person is employed by your business.

In Australia, there’s no single “mandatory” format for a proof of employment letter. What matters is that the letter is:

• accurate (no guesswork or inflated statements)
• consistent with your employment records and contracts
• appropriate for the purpose it’s being used for
• privacy-conscious (only sharing what’s necessary)

Most requests are straightforward - for example, confirming the employee’s name, job title and that they are currently employed.

Where businesses get into trouble is when the request pushes you into giving opinions or assurances you can’t guarantee, such as:

• “This employee will definitely remain employed for the next 12 months.”
• “They have an excellent performance record and no issues.”
• “Their income is guaranteed at $X ongoing.”

If you’re unsure whether you should provide a letter at all (or what you can safely say), it’s worth checking what your employee has consented to and keeping the letter tightly factual.

When Do Small Businesses Need To Provide Proof Of Employment?

Typically, you’ll be asked to provide a proof of employment letter when an employee needs to show a third party that they have stable work and income.

Common examples include:

• Home loans and personal loans (banks and lenders)
• Rental applications (real estate agents and landlords)
• Government processes (where employment needs to be verified)
• Childcare subsidies or other government processes
• Novated leases or salary packaging arrangements

Note: If you’re asked to provide information for an employee’s visa or migration matter, be careful not to provide advice outside your expertise. You can generally confirm factual employment details (consistent with your records) without commenting on eligibility or migration requirements. If in doubt, the employee should speak with a registered migration agent or lawyer who practises in migration law.

Is An Employer Legally Required To Provide It?

Often, there isn’t a general legal requirement that forces an employer to provide a proof of employment letter on demand. But practically, many businesses choose to provide one as a normal part of employment administration - provided it’s accurate and doesn’t expose the business to unnecessary risk.

If you’re being asked for something more specific (for example, detailed confirmation of an employee’s employment ending, or dates of separation), you may be dealing with a different type of document such as an employer separation certificate.

What If The Employee Is Casual, Part-Time Or On Probation?

You can still provide proof of employment for casual, part-time, or probationary employees - but the wording matters.

For example:

• If someone is casual, don’t describe them as “permanent” or imply guaranteed hours.
• If hours vary, describe them as “variable” or provide an average (only if you can support it from payroll records).
• If they are on probation, you can keep the letter neutral and confirm employment start date and current status, without commentary.

It’s also a good opportunity to check your underlying employment documentation is in order. If you don’t already have clear written terms, consider putting an Employment Contract in place so your records align with what you’re confirming externally.

What Should A Proof Of Employment Letter Include (And What Should You Avoid)?

Think of a proof of employment letter as a “minimum necessary information” document. You want to confirm the facts, not create new obligations.

Key Details To Include

Most proof of employment letters include:

• Your business details (legal name, trading name if relevant, ABN/ACN if appropriate, address)
• Date of the letter
• Who the letter is addressed to (if known) or “To Whom It May Concern”
• Employee’s full name
• Employment start date
• Employment status (full-time, part-time, casual)
• Position/title
• Current employment status (for example, “currently employed”)
• Remuneration (only if required, and only if you can state it clearly - e.g. annual salary or hourly rate)
• Standard hours (if relevant and consistent)
• Your contact details for verification
• Signature and name/title of the signer

Details To Be Careful With (Or Leave Out)

Depending on why the letter is requested, you may want to avoid including:

• Performance commentary (positive or negative) unless you have a clear reason and the employee has asked for it
• Guarantees about future employment (“will continue indefinitely”, “job is secure”)
• Confidential information about your business, clients, or internal operations
• Health information or any sensitive personal information
• Unnecessary personal details (for example, date of birth) unless the employee has asked for it and it’s genuinely required for the purpose
• Reasons for employment changes unless specifically required and confirmed in writing

Privacy And Consent: A Practical Rule Of Thumb

Even where an employee requests the letter, it’s sensible to confirm (in writing) what details they want included and who it’s being provided to. It’s also a good idea to only disclose what’s reasonably necessary for that purpose.

As a practical process, many businesses:

• ask the employee to confirm the recipient and purpose, and
• only include the minimum information needed for that purpose.

This keeps the letter useful while reducing the risk of oversharing.

Signing: Who Should Sign And How?

Ideally, the letter should be signed by someone authorised within your business (for example, a director, business owner, or HR/finance manager).

Make sure the signatory’s name and position are printed clearly, and that the signature method is appropriate for how the letter is being delivered (PDF on letterhead is common).

If you’re having someone sign on behalf of another person (for example, an assistant signing for a director), it’s important to do it correctly - see p.p. signing conventions like p.p. signatures.

And if you’re ever unsure whether your execution method is valid (particularly for more formal documents), it helps to understand the basics of a valid signature in an Australian business context.

How To Write A Proof Of Employment Letter: A Simple Process For Busy Employers

Here’s a step-by-step process you can reuse internally so your team handles requests consistently.

1. Confirm The Request In Writing

Ask the employee to confirm:

• who the letter is for (recipient name and organisation, if known)
• what the letter is needed for (loan, rental, childcare, etc.)
• what details are required (e.g. salary, hours, start date)

This can be as simple as an email reply from the employee confirming the details.

2. Cross-Check Your Records

Before you put anything in writing, check:

• their start date and role title (employment contract and HR records)
• their pay rate/salary (payroll records)
• their employment type (casual/part-time/full-time)

If your documents aren’t consistent (for example, the offer letter says one thing and payroll shows another), it’s better to fix that mismatch first than to “paper over” it with a letter.

3. Use Neutral, Factual Wording

Keep it simple. A good proof of employment letter is not long - it’s clear.

Aim for:

• short paragraphs
• plain English
• no opinions

4. Put It On Letterhead And Save As PDF

Using letterhead helps the recipient trust the document.

PDF is usually the safest format because it preserves formatting and reduces the risk of accidental edits after signing.

5. Keep A Copy On File

Save a copy of what you provided, when you provided it, and who authorised it.

This is especially important if a third party later disputes what was said or asks you to confirm a previous statement.

Proof Of Employment Letter Template (Australia): Sample You Can Copy And Edit

Below is a practical proof of employment letter template you can adapt. This is designed for common situations like rental applications and lender requests.

Important: You should tailor this to the employee’s employment type (especially if they’re casual) and only include remuneration details if they are needed for the request.

To Whom It May Concern,

RE: Proof Of Employment - 

I am writing to confirm that  is employed by  (ABN/ACN: ) as a .

 commenced employment with us on  and is currently employed on a  basis.

’s current remuneration is:
•  OR
• 

’s ordinary working hours are .

If you require any further information to verify this employment, please contact me on  or .

Yours faithfully,

 | 

Optional Paragraph For Casual Employees (If Needed)

If the employee is casual and the recipient needs clarity, you can add a neutral line like:

 is employed as a casual employee. Hours may vary depending on operational requirements and roster availability.

This helps you stay accurate while still giving the recipient useful context.

Do You Need A Different Document Instead?

Sometimes a third party asks for a “proof of employment letter” but what they actually want is closer to a formal employment document.

For example:

• If they want a formal summary of service details, you may prefer using a Certificate of Employment format.
• If they are asking about cessation details, a document like an Employer Separation Certificate may be more appropriate.
• If they’re asking you to authorise someone else to speak to them on your business’s behalf, you may want something like a Letter of Authority instead of (or alongside) an employment letter.

The key is to match the document to the purpose - and not feel pressured to “confirm” things that go beyond your records.

Key Takeaways

• A proof of employment letter is a short, factual document confirming an employee’s role and current employment status - it’s commonly requested for loans, rentals, and other verification processes.
• Keep your letter accurate and minimal: confirm basics like start date, role and employment type, and only include pay/hours if required and supported by records.
• Avoid opinions and promises, especially about future job security, guaranteed hours for casuals, or performance commentary.
• Use letterhead, have an authorised person sign, and keep a copy on file so you can show what was provided if questions arise later.
• If the request is more formal (or relates to employment ending), you may need a different document type rather than a standard proof of employment letter.

If you’d like help setting up your employment documents properly (so letters like this are easy to issue and consistent with your records), contact Sprintlaw on 1800 730 617 or team@sprintlaw.com.au for a free, no-obligations chat.