HR Snapshot #27: Hiring? Here is our quick guide to what must be written in an employment contract
Posted on 9th October 2020 at 11:15
Does the employee have a right to written terms?
Yes - Anyone legally classed as an employee or worker has the right to a written document summarising the main terms of their employment. The legal term for this document is the 'written statement of employment particulars'. It includes information such as pay and working hours. Many people think this document is the 'employment contract', but legally the contract is much broader than the written terms of their employment.
When must someone get their written terms?
An employer must give written terms (a 'written statement of employment particulars') explaining pay, working hours and other rights and responsibilities, to both employees and workers: Written terms must be provided no matter how long the person's employed and on or before the person's first day of work.
Everything in the written terms must follow the law. For example, it's not legal to state someone who is 22 years old will be paid £3.50 an hour, because this amount is below the minimum wage. The employee or worker should check the written terms and talk with their employer if there's anything they do not understand or agree with.
What should be included in the same document?
The following must all be included in the same document (sometimes knows as the ‘principal statement’):
the employer’s name
the employee or worker’s name
the start date (the day the employee or worker starts work)
the date that ‘continuous employment’ (working for the same employer without a significant break) started for an employee
job title, or a brief description of the job
the employer’s address
the places or addresses where the employee or worker will work
pay, including how often and when (for example, £1,000 per month, paid on the last Friday of the calendar month)
working hours, including which days the employee or worker must work and if and how their hours or days can change
holiday and holiday pay, including an explanation of how its calculated if the employee or worker leaves
the amount of sick leave and pay (if this information is not included in the document, the employer must state where to find it)
any other paid leave (if this information is not included in the document, the employer must state where to find it)
any other benefits, including non-contractual benefits such as childcare vouchers or company car schemes
the notice period either side must give when employment ends
how long the job is expected to last (if it’s temporary or fixed term)
any probation period, including its conditions and how long it is
if the employee will work abroad, and any terms that apply
training that must be completed by the employee or worker, including training the employer does not pay for
What terms can be provided later?
Employers can provide some terms in instalments. Instalments do not have to be given at the same time but must be provided no later than 2 months after the beginning of the employment. The terms that can be given in instalments are:
pension arrangements (if this information is not included in the document, the employer must state where the employee can find it)
any terms and conditions that apply to other employees too (known as ‘collective agreements’)
details of any training provided by the employer that is not compulsory (if this information is not included in the document, the employer must state where to find it)
disciplinary rules and disciplinary and grievance procedures
Other written information the employer should provide
As well as providing written terms (a 'written statement of employment particulars') it’s a good idea if the employer puts the following in writing, so everyone’s rights and responsibilities are clear. These include the job offer, how the employee will be paid (for example, pay will go straight into the employee’s bank account) and the standards of behaviour it expects from its employees (we call these our ‘Ways of Working’).
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