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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. This has caused some disagreements, and this is why we have the tribunal claims. It is a common practice for the employers to enter into agreements with the employees so that they can start an employer and employee relationship. 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.

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. This contract is in operation from the time is signed, or the employment commences, until there are some amendments, or the contract is terminated. The contracts are called a common law employment contracts.

The contract of employment includes the terms and conditions that the employer and the employee has agreed on. 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. An example is when the employee is working as a driver, where the contract highlights that he must have a valid driving license for the class of vehicle the employee will be driving.

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 hours that the employee is supposed to work per day is highlighted in the statement and if they have to work during the day or night and if they have to work on the weekends like Sundays and if the employees are paid overtime. It should also include if the employee is entitled to holiday entitlement, and this includes the public holidays.
It includes where the employee will work, and whether he or she will have to travel for work assignments in other areas and if they are paid and also if the employee will work in different places and if yes where.

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