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Why Employment Contracts are Necessary

The relationship that exists between the person employed and the employer is contained in 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. 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.

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 are referred to as the common law employment.

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.

The laws that are required by the law to be in employment contracts 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.

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.

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.
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.