Employment Contract Extension Letter


An employee contract extension letter is written by an employer to his non permanent employee to inform him or her that their contract or term with the company or organization has been extended. In the letter, you should state the date from which the contract has been extended and the duration of the extended period. You can give other details like salary, change in nature of work, roles and responsibilities, etc.

As it is a formal letter, keep the tone formal. Make sure the language used in the letter is easy and simple to understand. Don’t make the letter too long with details, keep it crisp and to the point. Make sure there are no grammatical or spelling errors in the letter. You can also praise the employee in the letter for his or her performance and let them know the benefits of performing well in your company.

Sample Letter:


Mansi Mathur

Sales Manager

Celly Enterprises





Shalini Sharma


Subject: Employee contract extension letter.


Miss Sharma,

With extreme happiness, I, Mansi Mathur, Sales Manager of Celly Enterprises would like to inform you that, your contract with our company has been extended. We would like to give our good wishes and congratulate you on your hard work and success. You have worked round the clock to achieve the sales target and you manage to do it before your contract term ends. It’s a commendable feat.

Your contract has now been extended for 14 months, and the new term begins on DD/MM/YYYY in our Gurgaon branch. During this term, your salary has been hiked, and there is also the provision of promotion and other perks. If you wish to accept this proposal, then please do sign the contract that I am enclosing with this letter. After you sign the contract, we will send you other details of the perks being offered to you. You can also let us know either by dropping an email or through message if you wish to decline this extension deal.

Other terms and conditions will remain same as discussed in the previous contract. You will be working here full time, and thus you cannot apply anywhere else. You will have to give one-week prior notice if you wish to leave the company due to any reason. You can email me in the case of further queries.

We look forward to seeing you on our team again. Congratulations and good luck.


Mansi Mathur

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