Contracts, policies and staff handbooks
Employers are legally obliged to provide employees with a written statement of the Terms and Conditions of their employment within two months from the day they start work.
This written statement does not have to be in the form of a formal contract, but certain key specifics do need to be set down in writing, for example: the job title, the rate of pay, when wages are paid, the details surrounding holidays and holiday pay arrangements, terms relating to sick pay, any pension provision, and the length of notice required to terminate the contract.
Especially given the level of detail legally required in the written statement, it is most sensible just to issue a contract from day one, containing all the terms that the employer thinks are important. Practically, it is easier to set out the terms at the beginning than it would be later on, when introducing new terms could cause grievance and/or resentment.
A well-drafted contract can, and is supposed to, prevent future disputes, by allowing both employer and employee to know exactly where they stand. Anecdotally, most employment disputes involving small businesses could have been prevented, had there been a written contract in place from the beginning.
Certainly, should a complaint arise in a case where there is no written statement of terms or written contract, any compensation awarded to the employee will be increased by the Tribunal because of the absence of such a document.
We can help employers put together suitable contracts, written statements and staff handbooks, appropriate for the needs of your business. Contact us to discuss your needs.