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Letter Placing an Employee on Garden Leave following Resignation


This Letter Placing an Employee on Garden Leave Following Resignation should be used by an employer who has the express contractual right to place an employee on garden leave.

Garden leave means that, although the employee does not attend work during the notice period, he or she remains an employee on full contractual benefits for the duration of that garden leave. Garden leave is particularly useful when the employee is leaving to work for a competitor.

The advantage for the employer is that the employee will be bound by all of his or her contractual obligations towards the employer during his or her notice period and so is not free to undertake any work that is inconsistent with that duty. In addition, the employee is away from the workplace and does not have access to confidential information or clients’/customers’ contact details.

This letter explains the consequences of this course of action and reminds the employee of his or her restrictive covenants. In addition, the employee is asked to sign and return a copy of the letter to indicate his/her understanding of this course of action.

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