Dear Dr. ______________:
Thank you for your application for the advertised position in _________ at the University of _______________. The committee has completed its review of applications. The pool of applicants in general reflected a very high standard. The committee took considerable time and effort in rendering its short list. It is with regret that I inform you, we were not able to include you in our short list of applicants to be invited for campus interviews for this position. I wish to take this opportunity to wish you all the best in your continuing career path in the field.
Now that's a well written letter. Courteous, respectful, straight-forward and honest, without condescension. When I receive a letter like that I feel encouraged and welcome in the field, even in the face of rejection, rather than discouraged or put-off as too often occurs.