An Employment Contract is a written agreement between your business and an individual employee, outlining the terms of their employment. Contracts cannot contain any terms which are less than the National Employment Standards (NES) and cannot provide a wage that is less than the minimum wage or applicable Modern Award wage.
As there are many types of employment, not all contracts can be created from a single template. Permanent employees need different contract terms to that of a casual employee, who in turn would have different employment conditions to an employee on a fixed-term engagement.
It is imperative that all employees have legally compliant, enforceable and comprehensive Employment Contracts. This will ensure employees are aware of their entitlements and obligations and your business will have protection and certainty.
Employment Policies set out the rights and responsibilities of both employees and employers. They should be written in simple, concise language, while fully complying with the requirements of the Fair Work Act and other workplace legislation.
Ensuring that your policies are well understood is as important as having them.
'The current maximum penalty for a breach of the Fair Work Act is $63,000 for a company and $12,600 for an individual. Add to this the legal costs of defending a claim, and the financial impact on a business is significant'
