Sep 17 | min read
As businesses gradually reopen and employees return to work, most business owners may be responsible for making changes to their employees’ contracts. Here is everything you need to know about employment contracts to make the process legal and practical.
An employment contract is a legal relationship between the employer and the employee. It contains the terms of employment in writing, and both parties are bound legally to the terms. That’s why it’s crucial to check a person’s employment status before creating a contract.
An employment contract should contain a summary of the main terms of the employment, including information such as pay, working hours, responsibilities, etc.
As an employer, you can make changes to your employee’s contract under specific circumstances. Such as:
However, an employer also can enforce a new contract, but this should always be a last resort after exhausting other options.
An employer or employee can terminate an employment contract either through employee resignation or the employer dismissing the employee.
However, any dismissal should be on fair and legal grounds without infringing on the employee’s rights. It should also come with prior notice and reasons, and the employer should be prepared to provide a job reference when needed and final pay.
You can use a zero-hours contract for jobs on an “as-and-when” basis or for working hours that aren’t constant. With this, you can also create a bit more work flexibility. With a zero-hours contract:
If you’re an employee working through an agency, then your employment contract lies with the agency. That means your hiring agency has the responsibility to direct your work. Your agency should also provide you with details about the type of contract you will receive, how much pay is due to you, as well as the terms and conditions surrounding your agreement.
An employment agency goes by other names, including a recruitment agency, a staffing company, a temporary work agency, and an employment business.
An employer can prevent an employee from sharing company-related information through a Non-disclosure Agreement (NDA). An NDA is sometimes referred to as a confidentiality clause and could come as part of the employee’s contract or in a separate stand-alone document.
However, an NDA cannot stop an employer from reporting a crime to the police or whistleblowing.
For help with your employment contracts, get in touch with our professional team. At Harwood HR Solutions, we will write tailor-made business employment contracts for your staff.