Employment Contract
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Introduction of Free Employment Contract Sample in PDF
The Employee Agreement is a legal document specifying the terms and conditions of employment of an employee in the respective organization in which he/she is or will be working and contributing his human input. Employment Agreement is a type of contract commonly executed when a business hires a new employee binding both the parties to follow the clauses as mentioned in the said contract. It may have a range of different employment types like full time, part time and the fixed term.
It set out all of the terms of employment, including the job duties, salary & Remuneration benefits which can be availed, working hours, confidentiality, leaves including annual and monthly and various other key terms.
In most of the cases, once a new employee is recruited, both the employer and employee wants to get started without any delay. However, the employer may wish to first start by providing the employee a letter which states some of the key terms in brief. In these kinds of situations the employer uses a Letter of Offer followed by the Employment Agreement.
The employment agreement is required to be printed on stamp paper which is to be signed by both the employer and the employee and shall keep a copy of the same for their own records.
Note:- An Employment Agreement is not suitable for the contractors and they are recommended to use another legal agreement which is called a Service Agreement.
Advantages of Employment Agreement
- Safeguarding the Interest of Employer
- Setting Expectations for the development of organization as well as employee
- Safeguarding the Interest of Employee
- Listing down the Laws of Employment
Process of Drafting Employment Contract/Agreement
2. Drafting of agreement
2. Trademark Search
3. Sharing of Ist draft
4. Sharing of Final Agreement
Content for the Employment Contract
- Name of the Employer
- List of clauses governing Employee Agreement like scope of work for both parties
- Signature of both the parties involved
- Confidentiality and Non Disclosure
- Termination of Employment
- Name of the Employee
- Responsibilities and duties of both Employer and Employee
- Working hours and leave
- Intellectual Property Rights
- Arbitration Clause
- Terminologies and the definitions of terms for reducing the miscommunication
- Stamp Duty;
- Remuneration
- Non- Competing Clause
- Dual Employment i.e. one must not take multiple jobs at one point
Employment Contract Laws
FAQs On Employment Contract
There are certain advantages of having a well-written employment agreement which are as follows:
- Existence of high level of specificity with regard to the terms of employment;
- Existence of provisions like dispute resolution which protects in case any dispute between the employer and the employee
- For developing a positive relationship between the employer and the employee as it is also an important perspective.
There are mainly two kinds of Employment Agreement which are as follows:-
- Collective agreement: It the case where the agreement has been negotiated with one or more than one trade unions;
- Individual agreement: It the case where the agreement is been entered into personally between the employer and the employee;