Employment Contracts

An employer and an employee enter into a contract of employment to form the basis of an agreement by which each party has mutual obligations.

If no contract of employment exists then it is deemed that one will come into existence as soon as an employee commences work and, by doing so, the employee demonstrates that they accept the job on the terms offered by the employer.

Initially a contract of employment need not be in writing; however, all employees are entitled by law, to be given a written statement setting out the main particulars of their employment within two months of the date their employment commences, provided they have been taken on for more than one month. This statement does not necessarily have to cover every aspect of the contract, but will highlight the principal terms.

A contract of employment is an important document and one that if well-written will serve both employer and employee alike.

A specialist solicitor will be able to draft a comprehensive agreement, based on the business being conducted, which will serve the business for many years.

A contract of employment should not be underestimated. It will spell out the terms of a person’s employment and could save a business thousands of pounds from unwarranted claims by disgruntled employees.