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The new employee's contract: A step-by-step guide
The new employee's contract - Be prepared
Know the basics and comply with the law
- Tell the new employee the key terms of their employment - job title, pay and any benefits, hours, place of work, start date and any probationary period. This can be done orally, in writing, or through a mixture of the two. However, it is best to give the employee the terms in writing before they start work to avoid disagreements.
- Remember, a contract of employment starts as soon as they accept your job offer, although it is common for it to be subject to satisfactory references.
- Within two months of their start date, you must give the new employee their terms and conditions of employment in a Written Statement of Terms and Conditions of Employment.
- Later, changes to their terms can be made, but only if employer and employee agree, or if there is a clause in the original terms which cover the alteration.
The contract of employment is made up of:
- your job offer
- the Written Statement of Terms and Conditions of Employment
- the company procedures, policies and documents referred to in the statement - for example, your disciplinary and grievance procedures
- employment laws, such as those relating to maternity rights, unfair dismissal and annual leave
- some rules which are too obvious to be written into the statement. For example, an employee will not steal from their employer.