Difference Between Offer Letter And Appointment letter

The concept of offer letter and appointment letter sounds quite confusing for some employees. It actually seems the same on a general note. But both the terms have their respective differences. Let us discuss about them in detail today:

Offer letter

Offer letter is normally sent to a candidate by the recruiter to negotiate with the candidate about the salary and other details he/she may agreed upon. However, it is not the final document as it is of no proof of the candidate joining the organization. It contains information in the following section:

  • Position offered
  • Reporting structure
  • Date of joining
  • Salary in annual CTC
  • Location

However, offer letter does not confirm your appointment in the organization. In other words, you are being placed through campus recruitment and offered a job with the offer letter. It is chance to help you decide if you want to accept the offer or not.

If the candidate accepts the offer, he/she will have to produce a copy of acceptance of his resignation letter from the present job or the offer letter will stand null & void.

Appointment letter

Appointment letter on the other hand is the main approved confirmation that both the employee and employer are committed to the terms and conditions mentioned in the letter. Such a letter indicates the date of joining and the probation period with other general terms and conditions mentioned in the letter. It is produced at the time of joining or within 15 days from joining.

It also contains the detailed breakup of the CTC offered and other important information such as eligibility of leave, retirement age, condition under which transfer will take place, location of the company, notice period during resignation and so on.

However, in a few organizations, just one of the two, appointment or offer letter is offered to the selected candidate.