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When recruiting, it's important to differentiate between an offer letter and an employment agreement. An offer letter is a communication used to extend a job offer to a candidate, outlining details such as title, salary, supervisor, and expectations. It gives the candidate a better understanding of the position they've been offered. An employment agreement, on the other hand, is a legally binding contract detailing the terms of employment. HR professionals should ensure clarity and accuracy in both documents to protect the employer from unintended consequences.