1.
Overview
All employees have an employment contract with their employer. A contract is an agreement that
sets out an employees:
employment conditions
rights
responsibilities
duties
These are called the terms of the contract.
Employees and employers must stick to a contract until it ends (eg by an employer or employee
giving notice or an employee being dismissed) or until the terms are changed (usually by
agreement between the employee and employer).
If a person has an agreement to do some work for someone (like paint their house), this isnt an
employment contract but a contract to provide services.
Accepting a contract
As soon as someone accepts a job offer they have a contract with their employer. An employment
contract doesnt have to be written down.
2. Contract terms
The legal parts of a contract are known as terms. An employer should make clear which parts
of a contract are legally binding.
Contract terms could be:
in a written contract, or similar document like a written statement of employment
verbally agreed
in an employee handbook or on a company notice board
in an offer letter from the employer
required by law (eg an employer must pay employees at least the National Minimum
Wage)
in collective agreements - negotiated agreements between employers and trade unions or
staff associations
implied terms - automatically part of a contract even if theyre not written down
Implied terms
If theres nothing clearly agreed between you and your employer about a particular issue, it may
be covered by an implied term - for example:
employees not stealing from their employer
your employer providing a safe and secure working environment
a legal requirement like the right to a minimum of 5.6 weeks paid holidays
something necessary to do the job like a driver having a valid licence
something thats been done regularly in a company over a long time like paying a
Christmas bonus
3. Collective agreements
An employer may have an agreement with employees representatives (from trade unions or staff
associations) that allows negotiations of terms and conditions like pay or working hours. This is
called a collective agreement.
The terms of the agreement could include:
how negotiations will be organised
who will represent employees
which employees are covered by the agreement
which terms and conditions the agreement will cover
4. Written statement of employment
particulars
An employer must give employees a written statement of employment particulars if their
employment contract lasts at least a month or more. This isnt an employment contract but will
include the main conditions of employment.
The employer must provide the written statement within 2 months of the start of employment.
If an employee works abroad for more than a month during their first 2 months employment, the
employer must give them the written statement before they leave.
What a written statement must include
A written statement can be made up of more than one document (if the employer gives
employees different sections of their statement at different times). If this does happen, one of the
documents (called the principal statement) must include at least:
the businesss name
the employees name, job title or a description of work and start date
if a previous job counts towards a period of continuous employment, the date the period
started
how much and how often an employee will get paid
hours of work (and if employees will have to work Sundays, nights or overtime
holiday entitlement (and if that includes public holidays)
where an employee will be working and whether they might have to relocate
if an employee works in different places, where these will be and what the employers
address is
As well as the principal statement, a written statement must also contain information about:
how long a temporary job is expected to last
the end date of a fixed-term contract
notice periods
collective agreements
pensions
who to go to with a grievance
how to complain about how a grievance is handled
how to complain about a disciplinary or dismissal decision
What a written statement doesnt need to include
The written statement doesnt need to cover the following (but it must say where the information
can be found):
sick pay and procedures
disciplinary and dismissal procedures
grievance procedures
In Northern Ireland, a written statement must explain what the disciplinary rules and procedures
are.
Employers can download a template of a written statement of particulars to fill out.
Working abroad
If an employee has to work abroad for more than a month, their employer must state:
how long theyll be abroad
what currency theyll be paid in
what additional pay or benefits theyll get
terms relating to their return to the UK
This information can be given to the employee in a separate document.
An employer may send an employee to another country in the European Economic Area (EEA).
In this situation employees must get the terms and conditions that are the legal minimum in that
country for:
working hours and rest breaks
holiday entitlement
minimum pay (including overtime)
5. Problems with a written statement
If an employee has a problem receiving their written statement, they could:
1. Try to solve the problem with their employer informally.
2. If this doesnt work, take out a grievance against their employer (employers can also get
advice about handling grievances).
3. Take a case to an employment tribunal as a last resort. In Northern Ireland, a case would
be taken to an industrial tribunal.
The tribunal will decide what the employment particulars in the statement should have been.
Compensation
If an employee wins a case about another issue (eg unfair dismissal), the tribunal may award
compensation if theres been a problem with their written statement as well.
Compensation can be 2 or 4 weeks pay although theres a limit on how much a tribunal will
award for a weeks pay.
