Compliant, commercial, contemporary – the three Cs that make for a great employment contract.
We review our fair share of them…here’s what we always tend to see:
Poorly drafted post-termination restrictions (or none at all) – meaning little or no protection when the employee leaves.
Old data protection provisions – meaning you’re not securing appropriate consent to take photos of employees or provide references.
Continued accrual of benefits after five years’ service – you could well be discriminating against younger individuals.
Holiday allowance – no reminder that if employees don’t use it, they lose it (new case law makes this important).
Performance processes that are still called disciplinaries – likely to make your process unfair.
Failure to comply with employment contract fundamentals – they’ve been required by law since 1996. Without them you could be exposed to fines of up to four weeks’ pay per employee.
Complex and confusing – tone that is not simple or straight-talking devalues what should be a straightforward document.
With the Good Work Plan making agreed employment contracts a day-one right, it’s a good time to take a fresh look at your contracts. Let us know if you’d like to look into a review or update of your documents.