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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. The employee and the employer has to be in a written agreement, and both have to sign the contract. 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 operations of businesses can change, and if this happens, the information has to be captured into the contract. When changes occur in a business place, the employer and the employee has to ensure that the changes are captured in the written contract and then both parties to sign. The contract of employment enables both the employer and the employee to understand the terms and the conditions that they have to abide by so that they can create a conducive working environment. Both the employer and the employee have to sign the contract so that it can be in operation. The contracts of employment also referred to as the common law contracts consists of the following.

It has the agreed terms between the employee and the employer. The terms that you have agreed on are included in the written contract.

There are employment laws that are supposed by law to be included in the contract agreement, these are also included. There are also other terms which are necessary to make the contract work.

There should be a mutual working understanding between the employee and the employer. The terms are written to express the agreement terms on both parties and then there are others that are implied into the agreement.

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. 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.