Essential Elements of an Employee Contract

by | Dec 2, 2016 | Lawyers

Hiring employees for your business is one of the most important tasks as a business owner. Without skilled and qualified workers, your enterprise is doomed. But the hiring process involves more than just putting together a job posting and interviewing a few applicants. An employee contract will help you select the right candidate and establish clear communication about the role, responsibilities and compensation of your newly hired employee. Employment lawyers in Bournemouth can help you create an employee contract that contains all of the essential elements you need to protect both yourself and your employee. Here are some of the main components:

* Define the position: The contract should clearly state the position’s title, responsibilities, the title of the position that this person will be reporting to, work hours, and place of employment. Use clear language that is easily understood and interpreted so there is no doubt as to your expectations.

* Length of agreement: The contract should indicate a specific time period for the employment, and stipulate conditions that would extend, maintain or terminate the contract.

* Performance: If the position is sales-based, you may want to include specific sales goals and production figures. You can also include specific skills training or upgrades you expect of your employee.

* Compensation: How much are you going to pay your employee? Will it be salary or hourly? What are your expectations regarding overtime? These should all be clearly stated in the contract.

* Benefits: What benefits are you going to provide your employees? Stock options? Coverage of dental and medical costs? Each benefit should be clearly defined.

* Termination: What are grounds for termination? In what instances, will compensation be paid?

Employment lawyers in Bournemouth can help create a contract that is favourable to both you, as an employer, and your newly hired employee. A professionally crafted contract protects you from potential lengthy battles and lawsuits in the future, in the event of a disgruntled employee. Visit for more information.

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