Service Agreement – Contractual Extension | Template Share✕ Updated on: 22nd May 2024 2 mins read Template Onboarding #HRResourcesService Agreement Contractual ExtensionIt’s bad news for both employer and employee to know that the contractual employment needs to be extended.However, you can make it sound a little less disheartening by adding the right tone, the perfect content, and ending at a positive note.Quickly download the contractual extension letter sample by HROne and save hours of drafting this important document again & again. Download Now! Key HighlightsCustomize the service agreement by adding your own clauses and terms & conditions.The contractual extension letter format includes the mandatory details for the employee to understand the situation completely such as: Employer & employee information No. of days for contractual extension Reason behind the contractual extension Chance to be a full-time employee on completion of the extensionWhat is a Service Agreement Contractual Extension? When employees are hired on a contractual basis, they are likely to become full-time employees. But, in case their performance is not satisfactory during the period or for any other reason, the contract term may be extended. This is called contractual extension and the written notice issued to intimate the employee of the same is known as Service Agreement Contractual Extension.“40% of employers plan to fill current and future openings with full-time workers, and 47% plan to hire part-time workers going forward.” – CareerBuilderWhy is a Service Agreement Contractual Extension important?The service agreement contractual extension is an official document that announces the increment in the number of days of the contract. The employees must know how much more time they will be given to complete the contract. It is important to issue this letter to the concerned employee so that there are no legal or other troubles in future regarding the same.HROne gives you all the essential features in its performance management software to study and evaluate the employees’ performances. Switch right now to make things easy for yourselves and them.You can now download the free HROne contractual extension letter format in one tap and give the employees another chance to complete the assigned tasks while they are on contract. Download Now!