What is a contract of Employment?

What a contract of employment is, the procedures an employer should go though to put one in place and the effects of not doing so.

A 'Contract of employment' (also known as an 'Employment agreement') is an important legal document that outlines an employee's terms and conditions of employment and their rights and obligations to their employer. By law, a statement setting out the main terms and conditions of employment must be given to a new member of staff within two months of them starting work.

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The MyLawyer contract of employment template is very comprehensive and can be used for part-time and full-time employees. It provides the legal minimum for compliance with the law plus more, including clauses designed to protect a business, such as the specification of duties and responsibilities to the employer, confidentiality, restrictive covenants, garden leave, option to pay notice in lieu, protection of intellectual property, return of business property and data protection. Furthermore, our 'Contract of employment' covers other aspects of an employee/employer arrangement, such as salary, place of work (home or office, for example), the number of days a week employees will be required to work, holiday entitlement, sick pay, share option and pension schemes, private medical insurance, grievance procedure and notice of termination.

Used in conjunction with our 'Employee handbook', our 'Contract of employment' and supporting law guide gives you the tools you need to ensure you are complying with employment law, protecting your business from the costs of employment tribunals.