Guide - Contract of Employment

As an employer you must issue your employee a contract within two months of them starting their employment with you.

The employment contract should contain the following:
  • The legal name of the employer company - it is a good idea also to include the trading name if different.
  • The legal name of the employee.
  • The date the current employment began.
  • Any earlier date upon which employment with a previous employer began which is treated as "continuous" with the current employment.
  • The employee's pay, or how it is calculated, and the intervals at which it will be paid - eg weekly or monthly.
  • The employee's hours of work.
  • Entitlement to holidays - including public holidays - and holiday pay. The information must be accurate enough to allow precise calculation of accrued entitlement.
  • Job title or a brief description of the work.
  • The address of the employee's place of work. If they will be working in more than one place then this should be indicated along with the employer's address.
  • Sickness, injury and sick pay - terms and conditions relating to sickness or injury including any sick pay provisions.
  • Period of employment - where the employment is temporary, the period it's to continue for , or if it is a fixed-term contract, the date it's to end.
  • Notice periods - the length of notice required from both parties. Rather than stating specific terms you can refer to the relevant legislation.
  • Disciplinary and grievance - the name or job title of the person the employee should apply to in order to resolve a grievance, how this application should be made and further steps that may follow. The note should also include:
    • Any disciplinary rules that you have or you should refer to a document containing the rules, which is accessible to the employee.
    • The names or job title of the person an employee should apply to if they're dissatisfied with any disciplinary decision, how an application should be made and any further steps which may follow in the disciplinary procedure.

Create a written statement of employment through our link with HMRC Government website click here

Please be aware that the contract is important, we advise to think carefully if you are a small employer regarding sick pay and carrying holiday entitlement forward.


You can download this as a handy printable PDF
Way2Paye_Guide_-_Contract_of_Employment.pdf



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