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. 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. The terms and conditions that are negotiated through the corrective agreement are included in the agreement contract.
There are employment laws that are supposed by law to be included in the contract agreement, these are also 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.
There are also other terms which might seem obvious when mentioned. The contract terms are well highlighted in the contract for both parties to understand.
Employers are supposed to give the contracts to their employees. 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.
It also highlights how much, and how often and how an employee will be paid. If an employee is to go for public holidays, the information is captured in the employment contract.
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.