Why Employment Contracts are Necessary
The relationship that exists between an employer and an employee is based on a law of contract, but unlike other types of agreement only some certain aspects of the contract of the employees are required to be in writing by the law. If the terms and the conditions of a contract of the contract are not followed the person who has breached the agreement is taken to a tribunal court to answer to some charges. It is a common practice for the employers to enter into agreements with the employees so that they can start an employer and employee relationship. These agreements are usually put in writing by the employer incorporating the terms and both the employer and employee have to mutually agree with the standard form, or with the negotiated terms that exist between both parties. The employers and the employees should enter into a written contract so that in a case of any changes in the working conditions, the contract can be amended and incorporated into the contract.
The business operations and also the employee responsibilities can change with time. When changes occur in a business place, the employer and the employee has to ensure that the changes are captured in the written contract and then both parties to sign. The contract of employment enables both the employer and the employee to understand the terms and the conditions that they have to abide by so that they can create a conducive working environment. The contract starts to work immediately it is signed by both parties. The contracts of employment also referred to as the common law contracts consists of the following.
It includes the terms and conditions that have been agreed on between the employee and the employer that they both have to abide with so that they can work smoothly. There are terms and conditions which are set by legislation, which includes the national minimum wage and the minimum number of the paid holidays that the employee is entitled to in each year and all this is included in the contract of employment.
Also the terms and condition that are established by custom and practice are included. An example is when the employee is working as a driver, where the contract highlights that he must have a valid driving license for the class of vehicle the employee will be driving.
There should be a mutual working understanding between the employee and the employer. All the terms are well highlighted in the agreement contract.
Employers are supposed to give the contracts to their employees. The statement can be contained in more than one document, and it highlights the following information, the business address, and name, the employees name, the job description and title of the work they will be doing and the commencement date.
The payment terms are noted down. It should also include if the employee is entitled to holiday entitlement, and this includes the public holidays.
The best way to acquire the information is by signing the contract of employment, which means that the employment must be provided before the commencement of employment.