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Article Index
Employment Contract, The
What an Employment Contract is
How to change an existing contract
Put together an employee's written statement
Implied terms of an Employment Contract
When you send a new employee abroad
Example Employment Contract

The Employment Contract

Put together an employee's written statement

The written statement can take the form of a single document, in which case all of the information listed on this page must be included in that document.

It is also possible to give your written statement to employees in separate parts, provided they receive all parts within two months of starting work. Where this instalment method is used, some particulars of employment must be given in a single document described as the "principal statement".

The principal statement should include the following information:

  • The legal name of the employer company - it is a good idea also to include the trading name, if different - and of the employee.
  • The date the current employment began.
  • Any earlier date upon which employment with a previous employer began which is treated as "continuous" with the current employment.
  • The employee's pay (or how it is calculated), and the intervals (eg weekly or monthly) at which it will be paid.
  • The employee's hours of work.
  • Entitlement to holidays - including public holidays - and holiday pay. The information must be good enough to allow precise calculation of accrued entitlement.
  • Job title or a brief description of the work.
  • The address of the employee's place of work. If they will be working in more than one place then this should be indicated along with the employer's address.

If the written statement is given in separate parts, the following information - not contained in the "principal statement" - must also be provided within two months of starting work:

  • Where the employment is temporary, the period it is to continue for, or, if it is a fixed-term contract, the date it is to end.
  • The length of notice required from both parties, although rather than stating specific terms you can refer to the relevant legislation or to any relevant collective agreement which the employee has a reasonable opportunity to read.
  • Details of any terms relating to employment abroad for more than a month.
  • Details of any collective agreements with trade unions which directly affect the terms and conditions of employment.
  • A note setting out:
    • Whether the employment is covered by a pensions contracting-out certificate
    • The name or job title of the person the employee should apply to in order to resolve a grievance, how this application should be made and if you have 20 employees or more, any further steps that may follow.

      Also, if you have 20 employees or more, the note should include:

    • Any disciplinary rules that you have or, you should refer to a document containing the rules, which is accessible to the employee.
    • The names or job title of the person an employee should apply to if they are dissatisfied with any disciplinary decision, how an application should be made and any further steps which may follow in the disciplinary procedure.

The exemptions for businesses with fewer than 20 employees will be removed from 1 October 2004.

You must include the following, either in the statement or, where the written statement is given in separate parts, in an instalment separate from the "principal statement". Alternatively, you can refer to another document, such as a company handbook which is accessible to the employee:

  • Terms and conditions relating to sickness or injury, including any sick pay provisions.
  • Any terms and conditions relating to pensions and pension schemes.

Where there are no details to be given under any heading, you must say so.

The Employment Contract: Crown copyright © 2012


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