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Contract of Employment

Designing the Contract

Free Advice

 

 

 

 

 

 

 

Contract Index

Introduction

 

Contract Design

Forming the contract

Varying the contract

Terminating the contract

Fixed Term

 

Contract Terms

Introduction

 

Computers and emails

Conflicts of interest

Continuous employment

Disciplinary

Dress

Drugs

Duty of care

Duty of service

Fitness to work

Garden leave

Gifts

Hours of working

Implied terms

Intellectual property

Leaving employment

Maternity leave

Mitigation of loss

Notice of termination

Parental leave

Pay

Relocation

Resignation of directorships

Sickness

 

Contract Examples

Management

Staff 

Executive

Fixed Term

 

External Links

Varying contract of employment

ACAS contractual information

DTI guidance

Why have a written employment contract?

The written contract clearly and unambiguously defines the basis for employment.  Having a written contract avoids any doubt as to the current position and defines any restrictions or conditions that the employer wants to introduce as part of the employment relationship.

 

How can contracts be changed?

There is no legal requirement that a contract should be in writing.  Hence if the contract says one thing and an employee can show the employer has permitted a different practice the courts may interpret the different practice as a change in the contract (see varying contract indexed opposite).

 

Do I need to use a solicitor to develop the contract?

Probably yes, employment law has become more and more complicated and even with all the help provided by these pages its worth getting the final draft checked over by an experienced lawyer.  

 

Who should have a contract?

All employees whether employed for one day or ten years should have a written contract.  At first this sounds difficult to do but most employers have a series of standard contracts which they use for different categories (e.g. managers, full time and short term employees etc.).

 

What should be in the contract?

The contract should define the relationship between the employer and employee.  Such matters as: the place of work, the type of work, hours, method of payment, notice period, 

 

Give me an example of a contract.

Indexed opposite are examples of employment contracts.

 

How does the Staff Handbook relate to the employment contract?

The employment contract is a document which will be interpreted using legal terminology.  This means that its wording will be literally binding upon both parties and enforced by the courts.  The staff handbook is intended to be a guide, whilst its contents are relevant if a legal dispute arises the courts will interpret the document's meaning rather than rely upon its literal statement.  

 

Give me an example of a staff handbook.

Finally most employers also provide a staff handbook (see index opposite)  to employees.  This differs from the contract in that it gives general statements on the way the employee is to behave at work but it is not meant every word will be literally read (as in the contract).

 

What is the Written Statement of Particulars?

In any case employers must give employees a written statement of particulars (see handbook indexed left) within two months of the start of employment.  For the sake of convenience most employers combine the written statement with the the contract of employment and issue it at the outset of employment.

 

When should I issue all this paperwork?

Its best to issue the contract and staff handbook with the written offer of employment.  This means the potential employee can be clear of the conditions of service at the time they consider whether to join or not.