The best way to formalize the terms and circumstances of the job relationship is through an employment contract. In particular, whether the employee is employed on a part-time or casual basis, it should describe employment status, compensation, and obligations as basic parts of the working relationship. The likelihood of misunderstanding or confusion is likely to be decreased by outlining the terms of employment in writing.
It is helpful to have them professionally examined after creating an employment contract law and a letter of offer to ensure that the provisions are suitably clear. Additionally, doing so will lessen the possibility of unintentionally including illegal phrases.
There are specific terms of employment that should be included in an employment agreement, regardless of the size of your business or industry, even if every employment contract is different and needs to reflect the unique employment connection between the employer and the employee. In your employment agreement, you should stipulate the following clauses:
- Name and identifying information for both the employer and the employee
- Date of employment’s start and the duration of the trial period (if a permanent employee).
- Job title and description outlining the position’s responsibilities
- phrase referencing company policies and practices
5 clauses mentioning licenses, clearances, and registrations as being necessary for the function
- Employment Type (i.e. full-time, part-time, or casual)
- the business’s location and operating hours
- A remuneration clause specifies the payment mechanism (such as a salary, wage, or piece rate) and the perks and compensation that are either included in the payment or paid separately, such as superannuation, loadings, overtime, bonuses, and other benefits and allowances. Typically, the commission is outlined in a separate plan.
- Leave entitlements: The NES sets mandatory minimum requirements for a number of different types of leave, including yearly leave, personal leave, and long service leave.
- clauses safeguarding employer assets and data, such as company vehicles and intellectual property
- A confidentiality agreement that specifies which employer information should be kept private and outlines the potential repercussions of breaching it
- A non-disparagement provision prohibiting employees from taking any action that could harm the business
- The length of time that both the employer and the employee must provide notice before ending their employment connection (there are minimum notice periods under the Fair Work Act)
- Termination provisions, such as Redundancy
- Clauses pertaining to Assignment, Jurisdiction, Severability, and Term Variation
Also take into account clauses that address prospective changes to the employee’s function or range of responsibilities (i.e., would the same contract still be applicable if the person needs to switch locations, tasks, or responsibilities) Furthermore, depending on the employee’s position, possibly provisions that forbid them from opening a rival company in the same area for a certain amount of time or from stealing clients, however, these provisions can be difficult to implement.
Employment Contract Types
Although the advantages and outcomes of each type of interaction vary, written agreements are always preferred.
The best way to engage employees for your company will rely on the needs of your particular industry. Additionally, you should think about how the arrangement will affect your company’s finances and the expectations for each function in the industry.
Here are some of the most typical forms of motivated employment lawyers perth:
Contracts For Full-Time Employment
Employees that are employed full-time often work 38 regular hours per week, or an average of 38 regular hours per week, and have continued employment. Depending on whether the pertinent employee is protected by an industrial instrument, this could change. They are entitled to paid time off and must get termination notice.
Contracts For Part-Time Employment
Part-time workers often work fewer than 38 hours per week and have continual employment. They often put in consistent hours each week and are qualified for the same minimal employment benefits as full-time employees. The part-time benefits, however, are calculated “per rata.”
Temporary Employment Agreements
On a demand-only basis, casual employees work for an employee. Contrary to a permanent arrangement, casual employees typically labor on an as-needed basis with no definite commitment in advance (so the work hours are irregular). Casual employees can decline shifts and are compensated for the hours they work. Casual workers typically do not receive paid sick or vacation time, and their employment is generally subject to termination without cause at any time. Casual employment attracts an hourly loading as a kind of compensation.
Contracts For Fixed-Term Employment
When a worker is employed for a set amount of time or to do a particular task or project, this occurs. The contract often expires when a project is finished or an event has passed (e.g. a peak season). Fixed-term agreements specify the duration of the job relationship, beginning to end. Despite the fact that this sort of agreement is frequently brief-term, fixed-term workers still have access to the same benefits as permanent workers, and notice is not necessary if the employment contract expires at the conclusion of the fixed-term.
Usually, self-employed individuals and independent contractors subcontract their services to other businesses. Contractors are free to choose how much they are paid and how they work, and they can simultaneously work for several different companies. It’s crucial for an employer to specify whether a candidate will be a long-term employee or an independent contractor because there could be hazards to the company if the contractor ends up being an employee.
Termination Of A Contract of Employment
Either the employee (via resigning) or the employer may end an employment contract.
Whatever the reason for the termination, it is important to take the right steps to make sure the process is fair and adheres to the workplace policies. An employee who is fired or resigns may be entitled to notice pay and must get their final salary, which includes any entitlements owed to them, such as accrued but unused vacation time.
Make sure your employment contract and employee handbook include a clear description of the terms relating to termination.
Call us at (08) 6245 1258 for initial advice if you have any questions about employment contracts.