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Why Employment Contracts are Necessary

Before and employee starts an employment there has to be an agreement between the employer and employee known as a contract. We also have tribunal courts that will look into cases that occur as a result of the contracts being followed. The practice of the employer and the employee signing a contract of agreement is a most common practice. These agreements are supposed to be in writing and have to incorporate the terms that both the employer and the employee have to work and abide with. Some of the employers will ignore this and agree on a verbal agreement with their employees they, therefore, do not finalize with the terms of employment in a written form or an employment contract.

When the changes occur in business places the information has to be captured in the agreement contract to protect both the employee and the employer. When this happens and there is no written contract, there might be an oversight of these changes, but when there is a written contract this information has to be incorporated into the contract. When an employment contract is signed by both parties the terms of employment are well highlighted to ensure that both the employer and the employee understands the terms that both have to abide by. Both the employer and the employee have to sign the contract so that it can be in operation. The contracts of employment are referred to as the common law employment.

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. Some are the requirement that an employer should have and so they are included in the contract
so that the employee can abide by them.

An example is how the employees are supposed to act in good faith, and the employers have confidence and trust the employees. The contract terms are well highlighted in the contract for both parties to understand.

The employers have to give a written statement to their employee who is a legal requirement highlighting certain particulars of the employment. The contract document contains information like the business address, the Business name, a name of the employee, the job description, work title and other information.

The payment terms are noted down. 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.