When an employee agrees to do paid work for an employer, a contract is formed. The contract doesn’t have to be written, but the employer is legally required to provide a “written statement of employment particulars”. This is a legally binding agreement between employer and employee.
From 6 Apr 2020 onwards, employees must be provided with a written statement of particulars from the day they start work. (Previously it had to be provided within two calendar months of their start date.)
What has to be included in an employee’s contract?
The written statement can be brief, but it must contain the following.
- The business name
- The employee’s name, job title, start date, job description and job location(s)
- How much the employee will be paid, and how often
- Hours of work (including any requirement to work weekends, overtime or nights)
- Holiday entitlement (including whether this includes public holidays). Employees must receive 5.6 weeks paid holiday pro rata
- Details of continuous employment if the employee is moving from a previous job within the same organisation
The written statement must also contain information about how long the job will last (if the employment is temporary), the end date (if it’s a fixed term contract), collective agreements, notice periods and pension rights.
Sick pay, grievance, disciplinary and dismissal procedures do not have to be mentioned in the written statement, but it must say where information on these matters can be found.
Are there any “implied terms” in an employee contract?
Implied terms are things that exist where there is nothing agreed in writing between an employee and employer regarding an issue. Examples include:
- That employees not steal from their employer
- That employers provide a safe environment for employees to work in
- That the employer pays SMP and SSP, and meets other statutory requirements
- That an employee holds a driving licence, if required for the job
What happens if no written statement is provided to an employee?
Employees who do not receive a written statement should try to resolve the matter informally. However, they can raise a formal grievance and – as a last resort – make a claim to an employment tribunal, which could result in the employer having to pay them compensation.
More information on employment tribunals can be found in the employment tribunal rules of procedure 2013.
We can provide basic employment contracts. Call us to find out more on 0151 931 2724, or email contact@myaccountancyhub.co.uk.
