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A Guide to Employment Verification Letters

Cartoon image of two males and a female leaping into the air with joy - in the foreground hands hold a letter with the word "Accepted" across the top.

If you work in Human Resources (HR) or operate a small business where you handle most of the HR responsibilities, you might encounter a request for an employment verification letter. Both present and former employees use a proof of employment letter to verify their employment with your company.

The key to providing an employment verification letter is to know what to include in this letter and the appropriate policies to have in place to handle requests for these letters. In this guide, we’ll cover everything you need to know about the purpose of employment verification letters, the methods for writing these letters, and tips for handling requests.

Why Is an Employment Verification Letter Requested?

An employment verification letter serves as an official document that helps a present or past employee prove that they either once worked for your company or currently do. An employment verification letter might be used for any of the following scenarios:

  • A former employee needs to prove their employment history to a new company.
  • A current employee is applying for lending, such as for a home mortgage, and needs to prove to a lending institution that they are employed and verify their earnings.
  • A current employee is applying for a rental and needs to verify their employment status and earnings with their new landlord.
  • A former employee wants to have official documentation on hand to use during future application processes.

In most cases, when an employee submits an employment verification letter request, they will inform you of the purpose of their letter. This will help you know what relevant information to include in the letter.

How to Write an Employment Verification Letter

If an employee has submitted a request for a verification of employment letter, the first thing you’ll want to do is find out whether the requester needs an email or a physical letter. Additionally, you’ll want to know to whom the letter should be addressed, along with the address of the organization requiring the employment verification.

When writing an employment verification letter, be sure to include the following:

  • The name of your company and your address.
  • The name and contact information of the company requesting the letter.
  • The employee’s name and job title.
  • The dates of employment.
  • The employee’s salary or compensation.

Keep in mind that depending on the state in which you are doing business, there may be additional regulations around what you are legally allowed to put in an employment verification letter. Make sure to check with local laws prior to including information in a verification letter. For example, in some states, you can provide a reason for termination if this is requested, while in other states this is protected information.

Employment Verification Letter Samples

As you begin writing a letter of employment verification, use the following samples to help get started.

Example 1: A simple letter verifying the dates a former employee worked for your organization:

TechCompany USA

123 Anywhere Street

Springfield, IL 62701

September 21, 2022

FutureTech Resolution

123 Way Drive

Springfield, IL 62701

To Whom It May Concern:

This letter is to confirm that Jeremy Litcher was employed at TechCompany from May 1, 2018, to August 2, 2022.

If you need further information, please don’t hesitate to contact us at 777.777.7777 or by email at [email protected].

Sincerely,

Kristin Lundham

Human Resources Specialist

TechCompany

Example 2: A more detailed letter for a loan company that includes salary information:

TechCompany USA

123 Anywhere Street

Springfield, IL 62701

September 21, 2022

Loan Star

123 Frontage Road

Pittsburgh, PA

15213

To Whom It May Concern:

Please accept this letter as verification of Jason Menderson’s employment with TechCompany USA.

Employee Name: Jason Menderson

Employment Dates: February 21, 2012 – Present

Current Job Title: Customer Service Lead

Current Salary: $75,000

If you have any questions or need any additional information, please don’t hesitate to reach out at 777.777.7777 or by email at [email protected]

Sincerely,

Kristin Lundham

Human Resources Specialist

TechCompany

Policies for Proof of Employment Letter Requests

Once you have determined your format for writing employment letters, make sure that you put a consistent policy into place for future requests. This will not only help to streamline your process but will also make sure that any person handling these HR requests is following local regulations and guidelines.

For example, if an employee, present or past, requests an employment verification letter, you should have a response on hand that quickly details the information you will need to fulfill the request. This might include a request for the following:

  • The name and address of the organization that needs the verification letter (e.g., a loan company or a new place of work).
  • The method for submitting the letter, whether by email or by physical mail.
  • The information that needs to be included, such as salary and dates of employment.

Additionally, let employees know how many days they should expect for the turnaround of this letter.

Extra Tips for Writing Employment Verification Letters

When writing an employment verification letter, you want to ensure that you are following professional standards. Use the following extra tips to polish your employment letters:

  • Keep it short: Employment verification letters should be simple, concise, and factual. They do not need to include extraneous information, such as how you feel about an employee.
  • Double check the facts: Make sure that before you submit an employment verification letter you take the time to check the information included. Never estimate employment dates or compensation. The accuracy of this information can be particularly critical in the case of lending.
  • Use a business letter format: Always include contact information on the top left-hand side of your letter. When printing the letter to be physically mailed, print the letter on business stationery.
  • Respond in a timely manner: Remember, an employee might be relying on your response to secure financing or for another time-sensitive reason. Make sure that you adhere to a quick turnaround on employment verification letters.

If you are looking for further tips on handling hiring, employment requests, and more, be sure to check out our Insights page for Hiring Teams.

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AI and Personal Data – Ready for the Great Reset Yet?

A finger presses a mesh of glowing lights from which the profile of a women's face is emerging on the other side. Artificial Intelligence concept.

You don’t need to answer that question. You do have a right to privacy. Trouble is, New York City and California are transforming their concerns about privacy (not yours, employer), into new laws that will come into effect on 01 January, 2023.

The new laws concern Automated Employment Decision Tools (AEDTs).

And even though the “good news” is that total confusion over the laws and the “high volume of public comments” has led to a delay in enforcement – April 15, 2023 for New York City and July 01, 2023 for California – legal eagles are advising employers to get prepared now. Inviting a couple of lawyers round for Christmas dinner is something to consider.

No? OK – let’s look into it.

Automated Employment Decision Tools – and You

For a non-comprehensive list of tools in use by employers, we’ll point out:

  • Resume scanners using specific content to prioritize job applications.
  • Video tech used to analyze candidate characteristics or mannerisms.
  • Software used to monitor employees to analyze performance.
  • “Job Fit” tech generally if used in the evaluation of a candidate/employee.

Under the new law In New York City, requirements will include: 

  • Implementing a “bias audit” of AEDTs within one year prior to use.
  • Informing candidates or employees about AEDT use for hiring or promotion.
  • Inform same about the job qualifications and characteristics the AI tech will use.

“Violations of the provisions of the bill would be subject to a civil penalty.” — NYC

Well, that part is pretty clear, even if they did neglect to add “Happy new year!”. Touted fines for NYC are $500 for first violations and up to $1,500 for each subsequent violation.

Just to be perfectly unclear on what AEDTs are, according to the NYC law, here’s a quote:

“The term “automated employment decision tool” (or “AEDT”) is broadly defined as “any computational process, derived from machine learning, statistical modeling, data analytics, or artificial intelligence, that issues simplified output, including a score, classification, or recommendation, that is used to substantially assist or replace discretionary decision making for making employment decisions that impact natural persons.”

In California, Attorney General, Rob Bonta, was thinking along these lines in November:

  • A business commits an unfair business act or practice if it uses artificial intelligence or other automated decision-making tools in such a way as to have a disproportionate, adverse impact on or causes disproportionate, adverse treatment of a consumer or a class of consumers on the basis of protected characteristics.
  •  It can be an unfair business act or practice for a developer to sell or a business to utilize AIA without testing, auditing, monitoring, disclosures, and transparency. Transparency measures could include disseminating data and source code for independent review and testing, and disseminating the results of internal and independent audits. It is an unfair business act for an entity to refuse transparency, audit, or monitoring measures. 

Try to bear in mind that he’s only trying to help.

Burdens of Souring, Hiring, Retention – And Help!

As an employer or hiring team, your motives for using AEDTs is to improve the process of identifying, interviewing, and ultimately hiring the best fit candidates for open positions, with a view to enhancing productivity, retention and growth.

Increasingly easy online job applications means potentially massive response to advertised positions, with possibly many more fake-it-’till-you-make-it hopefuls than highly qualified experts in the relevant field. What to do? Enter Applicant Tracking Systems and any other automated help that becomes available to support analysis, assessment, and hiring the best.

And now, as you eagerly endeavor to optimize these complex AI assistants to achieve optimal outcomes, you find yourself needing legal assistance just to start pushing the buttons.

Still, progress.

With that in mind, related or similar local, state and even federal mandates are looming over the new year and our collective festive cheer, so getting on top of this one may be the first step to being capable of protecting yourself from the next one(s).

Unfortunately, getting on top of this one could be an uphill battle, even for the lawyered-up. That “high volume of public comments” mentioned above includes complaints about how vague many of the key terms actually are, and how many questions have been left unanswered. 

So the cynical could think that the delay in enforcement may be more for the people writing those “key terms” to figure out what they actually mean than it is for the employers who must start abiding by them as soon as humanely possible.

In September, the Department of Consumer and worker Protection (DCWP), proffered what it calls “Proposed Rules” to help employers get to grips with the question of how to comply with the new law, which is a nice gesture during the season of giving (and taking). Apparently, they’re still not finalized, but have been stated in this article already and can be found in greater depth here.

What’s the Point?

The point of all this is essentially to assess potential bias against anybody in a protected category: race, ethnicity, sex, for example. Those selected to move forward or given a classification by a AEDT would be analyzed with a view to identifying bias or lack of it. In New York City the following questions can tentatively be answered here (next steps: ask your lawyer):

Independent Auditors?

The audit would require an “independent auditor” – person or group not connected to the development or use of an AEDT responsible for an audit. Potentially, this would allow for consultants/contractors to be brought in and could mean legitimately using an in-house compliance team, if independent in the way mandated.

Informing Candidates and/or Employees?

Giving notice would or could entail posting the notice of AEDT use on the careers or jobs (as applicable in each instance), section of the company website, job posting, or email to candidates or employees.

Plan of attack?

  • Don’t limit your evaluations to your own AEDTs: Study vendors used by your company and AEDT tech used on your behalf, as legal responsibility could be open to question, probably depending on a slew of variants.
  • Figure out the “Independent Auditor” question and conduct an audit of your AEDT(s) and look into:
    • Related data collected and why
    • Full analysis of protected groups and comparative results
    • Methods and goals of data analysis
    • Criteria in place to decide success
    • Transparency of these and related processes 
    • Give notice as described and provide alternatives/opt-out
    • Find your own alternative if negative outcomes are identified

In October, the Biden administration published: Blueprint for an AI Bill of Rights. Here’s a quote to get you in the festive mood:

“Among the great challenges posed to democracy today is the use of technology, data, and automated systems in ways that threaten the rights of the American public. Too often, these tools are used to limit our opportunities and prevent our access to critical resources or services. These problems are well documented. In America and around the world, systems supposed to help with patient care have proven unsafe, ineffective, or biased. Algorithms used in hiring and credit decisions have been found to reflect and reproduce existing unwanted inequities or embed new harmful bias and discrimination. Unchecked social media data collection has been used to threaten people’s opportunities, undermine their privacy, or pervasively track their activity—often without their knowledge or consent.”

After all the cynicism prevalent in 2022, doesn’t that remind you of the final scene of A Christmas Carol?