Benefits of Employment Contracts
Before and employee starts an employment there has to be an agreement between the employer and employee known as a contract. This has caused some disagreements, and this is why we have the tribunal claims. The practice of the employer and the employee signing a contract of agreement is a most common practice. 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. A verbal agreement between both the parties is not the best way as the terms of work and conditions can change with time and if it is a verbal agreement sometimes the changes cannot be captured.
The business operations and also the employee responsibilities can change with time. The changes might fail to be integrated into the verbal or even the written contract which leaves both the employer and the employee exposed to the uncertainty and legal exposures. When there is a written contract the terms of employment are clearly and unmistakably highlighted to ensure that both parties are quite aware and understand their main responsibilities, obligations and duties under the contract of agreement. 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.
The contract of employment includes the terms and conditions that the employer and the employee has agreed on. 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. The contract terms are well highlighted in the contract for both parties to understand.
There has to be a written contract between the employer and the employee before the employer starts to work for the employee. 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.
It also highlights how much, and how often and how an employee will be paid. All the holidays are that the employee is entitled to are highlighted.
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.