Your Business Matters

Terms & Conditions Of Employment

The law requires that you put in writing certain minimum terms and conditions of employment for each employee.

Without producing “War and Peace” sized T&C’s of employment we would recommend that employers consider terms which are suitable for their business and the roles and responsibilities of staff. Many employers produce a bare minimum contract and then suffer the consequences when a dispute arises.

 

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Employers should carefully consider possible terms and conditions of employment, Including :-

  • Period Of Notice -  If no notice provisions are provided in any contract of employment the business and the employee will be subject to the statutory legal minimum notice period. This is highly undesirable for all but the most junior of employees.
  • Restrictive Covenants - Without placing a contractual restriction on an employee which continues after the termination of the employee’s employment there is very little that your business will be able to do should that employee use the knowledge, information and contracts he has gained from your business to set up in competition. You will be more concerned about senior employees and sales staff.
  • Confidentiality - It is advisable for your business to consider adding a clause to restrain employees from using any information the company regards as confidential for their own benefit both during and after the termination of employment. If you do not you may find that your employee can use that information to set up in competition against you.
  • Deductions From Wages - Your business will have no right to take deductions from your employee’s unless you have taken the appropriate precautions.
  • Restrictions On Annual Leave - Your business may require employees to take holidays at certain times, and avoid taking holidays at other times.
  • Mobility Clauses - It may be advisable for your business to include such a clause, particularly if it has several sites close to each other. In any event, such a clause may assist your business to avoid dismissing employees in a redundancy situation.
  • Inventions & Discoveries - Your business may need to ensure that any intellectual property rights belong to the business and not the employee. If this clause is not incorporated there could be potentially serious consequences for your business.
  • Overtime - It is advisable to clarify any policies on overtime within the contract of employment.
  • Surrender Of Papers - It is advisable to deal with the surrender of any business papers / documents which the employee has in their possession.

Review Your Terms Regularly

Even if your business is not presently concerned about a new junior employee the situation may change in the future if the employee is promoted. The employee may be promoted to a position where they will have access to confidential information and customers and may be able to use that information when leaving your business to set up in competition with it. Regular reviews can prevent this happening.

Tilly Bailey & Irvine’s Employment Team is available to discuss your enquiries and needs in relation to any contract policy or procedure and can assist in drafting all necessary documentation to provide your business with peace of mind.