Employment Contract
Employment Contract
What is an Employment Contract?
An employment contract covers the following mentioned items:
- Offer of Appointment with Congratulations note on top
- Job Conditions: Filed/office/factory etc. environments
- Compensation and benefits (Salary and perks)
- Job description (what is expected output from a to-be employee)
- Total Tenure of the job/service
- Renewability or extension terms of the Contract
- Clauses mentioning: Rules, Policies, Laws and Regulations acceptance by to-be employee
- Number of leaves allowed per month/per year/ any specified time period intervals
- Written Declaration of being honest to the job and giving full potentials
- Agreement of abiding by the Organizational and Government good practices and rules
- In case of any problem between employees or employee employers: the arbitration powers and negotiation clauses
- Confidentiality maintenance declaration by the employee
- Termination of Contract clauses covering its certain time notice period preconditions
- Date of Joining of the job
- The certain period of time to either accept or reject the offer
- Any other information/requirement as the Organization may deem fit
Written contracts are duly signed by both the parties {employer and (to-be) employee}
What are the types of Employment contracts?
Employment contracts are of several types,
Employment at Will: This is the routine most contract type practiced in the US, whereby both the parties can terminate the job at any time without assigning any notice periods by either party to the other. But at the same time employer can never terminate employees on a false basis like color, creed, class, family, discrimination or counter-attack, etc.
Employment based on writing agreement: Here, it is featured as an in detail contract covering therein the terms and conditions for both the parties i.e. employer as well as the (to-be) employee. It routinely encompasses a certain period of time mentioned decided by the employer side on need basis of some projects completion/time period tasks etc. like in powerhouses the shutdowns need few more employees to be hired for a certain period of time covering and completing shut down repairs jobs, they are also called as on contingent based employees. The employers, upon violation of rules by the employees, may terminate such contracts.
Oral based contracts for the job: The legal contract these are, but with limited evidence of some surrounded environment like if any paper or a person as evidence is used in case of any dispute between the parties (say employer and the employee). Thereupon either evidence or the reputation of the party is given weightage for resolving disputes if any. Otherwise, these contracts can be either time bound like written ones or the “at will job contracts” categorically.
Implied Oral Job contracts: This sort of job contract can be a mix of both oral and written and have no documented in a formal way. In case of any dispute solver, the courts of Law look into the matters of the employee tenures and their performance with the organizations, for taking any decision.
We at WebHR suggest our valuable clientele look into the very requirements of the organization, the time requirement of the job (need of the hour), worth of the job (job analysis by HR department covering necessary details of the job hours, job conditions, and the compensation and benefits - to do a Cost Versus Benefit Analysis), terms and the conditions covering necessary ample security of the Organization and Employee both, at all to create a win win situation for the mutual benefit, which fits all the parties.
Moreover, the terms and conditions detailed above can be changed within the Law premises as per the need of the Organizational requirement.
Related: Employment at Will