Employment Contract Template | Free Agreement Templates

An employment contract template is a very effective and useful legal document which is used when an individual is willing to join employment. It is a very crucial contract as it governs the employment relationship. An employment contract contains valuable information, starting from job details to termination. The terms and conditions of this contract should be discussed in detail by employer and employee. The ultimate aim of every employment contract is to secure the risks of both parties while providing a legal platform where both can get assistance during any dispute. There are many essential requirements which need to be filled in for any valid contract. These essential requirements are; consents of parties, signature, terms and conditions and date.

Content of Employment Contract:

The content of an employment contract will vary according to the nature of the job assignment. Usually, an employment contract consists of the name and address of all parties, date of contract, job details and requirements and finally, signatures of all parties. Apart from job requirements, an employment contract should have comprehensive information about the compensation plan and issues. It can further highlight different forms of compensation. For instance, wages, salary, bonuses, vacation allowances, entitlement allowances, profit-sharing and other perks. Moreover, this contract is necessary for both parties to fully understand the terms and conditions of employment for which they are willing to sign. This includes working hours, job nature, information about joining and leaving the job as well as abusing rules regarding abusing or poor conduct.

What are the Essential Requirements of an Employment Contract?

There are many factors which should be kept in mind before entering into a contract for employment. The essential requirements for an employment contract are given as:

• Name of employer and employee

• Starting and ending date

• Information about renewal of contract with list of circumstances

• Specifics of job nature

• List of responsibilities

• Reporting requirements

• Location of work performance

• Evaluation metrics

• Customer assignments

• Information about tax implications

• Signatures of all parties

A professional employment contract will serve as an undeniable record while facing any dispute or misunderstandings between an employer and employee.