Why Employment Contracts are Necessary
The relationship that exists between the person employed and the employer is contained in a contract. 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. 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. 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.
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. Both the employer and the employee have to sign the contract so that it can be in operation. The contracts are called a common law employment contracts.
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. The terms and conditions that are negotiated through the corrective agreement are included in the agreement contract.
The laws that are required by the law to be in employment contracts are also included. There are also other terms which are necessary to make the contract work.
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.
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.
It also highlights how much, and how often and how an employee will be paid. It should also include if the employee is entitled to holiday entitlement, and this includes the public holidays.
If an employee will at some point be required to travel somewhere for employment this is captured in the contract and also the nrservice they are to offer to the employer.
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