Create a Customized Employment Contract

This template was prepared by: Topstone Solicitors (London), Topstone Solicitors

Instructions

A formal agreement that specifies the conditions of the relationship between an employee and an employer. Employment agreements contain the terms and conditions of employment.

Employment Contract

Choose Type of Employment:

Employees are on a fixed-term contract if both of the following apply: a) they have an employment contract with the organisation and b) they work for their contract ends on a particular date, or on completion of a specific task, eg a project. Workers don’t count as fixed-term employees if they: a)have a contract with an agency rather than the company they’re working for, b) are a student or trainee on a work-experience placement, c) are working under a ‘contract of apprenticeship’, d) are a member of the armed forces. They may be a fixed-term employee if they’re: a) a seasonal or casual employee taken on for up to 6 months during a peak period, b) a specialist employee for a project, c) covering for maternity leave. More at www.gov.uk/fixed-term-contracts/what-counts-as-a-fixedterm-contract

Employees are on a fixed-term contract if both of the following apply: a) they have an employment contract with the organisation and b) they work for their contract ends on a particular date, or on completion of a specific task, eg a project. Workers don’t count as fixed-term employees if they: a)have a contract with an agency rather than the company they’re working for, b) are a student or trainee on a work-experience placement, c) are working under a ‘contract of apprenticeship’, d) are a member of the armed forces. They may be a fixed-term employee if they’re: a) a seasonal or casual employee taken on for up to 6 months during a peak period, b) a specialist employee for a project, c) covering for maternity leave. More at https://www.gov.uk/fixed-term-contracts/what-counts-as-a-fixedterm-contract

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THIS EMPLOYMENT CONTRACT (this 'Contract') dated
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The Employer is
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of
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of
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Commencement Date and Term.
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The Employee will commence employment with the Employer on
(the 'Commencement Date').
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Probationary Period.

A probationary period is a stretch of time during which a new employee receives extra supervision and coaching, either to learn a new job or to turn around a performance problem. The probationary period can be as short as a month or as long as a year, depending on the situation. It is also designed to give managers and employees a way to terminate the arrangement more easily should the employment not work out as expected.

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Will the Employee have a probationary period?

A probationary period is a stretch of time during which a new employee receives extra supervision and coaching, either to learn a new job or to turn around a performance problem. The probationary period can be as short as a month or as long as a year, depending on the situation. It is also designed to give managers and employees a way to terminate the arrangement more easily should the employment not work out as expected.

The Employee must successfully complete a probationary period of
(the 'Probationary Period') beginning on the Commencement Date. At any time during the Probationary Period, as and where permitted by law, the Employer will have the right to terminate this employment without any notice or compensation to the Employee other than wages owed for hours of work already completed.
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Job Title and Description.
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The Employee will be employed as a
or in such other capacity as the Employer may from time to time reasonably direct subject to and in accordance with the terms of this contract.
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The job duties the Employee will be expected to perform will be the following:
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;
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Place of Work.
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Will the Employee be required work at more than one place?
The Employee's primary place of work will be at the following location:
.
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The Employee will also be required to perform his/her duties
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Time of Work.
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The Employee's normal hours of work and breaks ('Normal Hours of Work') are from
to
.
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Employee Compensation.

Compensation refers to money paid for work or a service.

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Compensation paid to the Employee for the services rendered by the Employee as required by this Contract (the "Compensation") will include
at the rate of
+ In Words
per hour plus:
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Any compensation to be paid for overtime hours
.
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The Compensation will be payable
while this Contract is in force. The Employer is entitled to deduct from the Employee's Compensation, or from any other compensation in whatever form, any applicable deductions and remittances as required by law.
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Employee Benefits.
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Pension.

A pension is a way to save money for later in Employee’s life. The Employee may be able to get: a) a pension from the government, b) money from pension schemes the Employee or the Employer pay into. More at https://www.gov.uk/plan-retirement-income/overview

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Has the Employer opted out of the standard occuptational pension scheme with a contracting-out certificate?

A pension is a way to save money for later in Employee’s life. The Employee may be able to get: a) a pension from the government, b) money from pension schemes the Employee or the Employer pay into. More at www.gov.uk/plan-retirement-income/overview

Holidays.

Almost all workers are legally entitled to 5.6 weeks’ paid holiday per year (known as statutory leave entitlement or annual leave). An employer can include bank holidays as part of statutory annual leave. Most workers who work a 5-day week must receive 28 days’ paid annual leave per year. This is calculated by multiplying a normal week (5 days) by the annual entitlement of 5.6 weeks. Part-time workers are also entitled to a minimum of 5.6 weeks of paid holiday each year, although this may amount to fewer actual days of paid holiday than a full-time worker would get. ‘Pro-rata basis’ refers to a calculation made in proportion, according to a certain rate. More at https://www.gov.uk/holiday-entitlement-rights

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The Holiday year will commence on
day of
(the 'Holiday Year').
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During each Holiday Year, the Employee is entitled to
of paid annual leave including bank holidays and public holidays, such entitlement accruing on a pro rata basis.
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The times and dates for any holidays will be determined by
between the Employer and Employee.
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Sickness and Disability.

You can get £88.45 per week Statutory Sick Pay (SSP) if you’re too ill to work. It’s paid by your employer for up to 28 weeks. You need to qualify for SSP and have been off work sick for 4 or more days in a row (including non-working days). You can’t get less than the statutory amount. You can get more if your company has a sick pay scheme (or ‘occupational scheme’). More at https://www.gov.uk/statutory-sick-pay

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Which sick pay will be provided to the Employee?

You can get £88.45 per week Statutory Sick Pay (SSP) if you’re too ill to work. It’s paid by your employer for up to 28 weeks. You need to qualify for SSP and have been off work sick for 4 or more days in a row (including non-working days). You can’t get less than the statutory amount. You can get more if your company has a sick pay scheme (or ‘occupational scheme’). More at www.gov.uk/statutory-sick-pay

If the Employee is unable to perform the Employee's duties as result of illness or injury, the Employee will inform the Employer via
of the reason for the Employee’s absence no later than
on the
of the absence or as soon as is reasonably possible. If the absence extends beyond
days, the Employee will obtain and provide the Employer with a certificate or note from the Employee's doctor corroborating such illness or injury.
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During such absence the Employer will pay to the Employee the Employee's full pay as contractual sick pay, provided that the Employer will pay a maximum of
+ In Words
to the Employee as contractual sick pay in any
months period, the period commencing on the first day for which the Employee is paid contractual sick pay.
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Non-Competition.

Employers insert non-compete clauses into employment contracts to restrict a worker’s ability to compete against their former employer after they leave, thereby protecting the former employer’s confidential information or customer relations for a specific period of time. They are used in addition to clauses which relate specifically to confidential information and intellectual property. For a restrictive covenant to be enforced it must not be drafted too widely. It will be for the employer, in the event of a clause being challenged, to show that the clause is justified and sufficiently narrow. To meet these criteria an employer must be mindful of certain factors: a) The breadth of the geographical area of any restriction and the length of time of the post termination restriction must be justified. It is unlikely that a wide geographical area will be justified and, as a general rule, a restriction for more than 6-12 months will be difficult to justify. b) The breadth of the activities that the employer is trying to restrict. c) The type of interest being protected, for instance, information such as trade secrets may be granted wider protection than customer information, given that its potential use across markets is wider.

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The Employee agrees that during the Employee's term of active employment and for a period of
after the end of that term, the Employee will not, directly or indirectly, as employee, sole proprietor, director, partner, owner, consultant, agent, founder, co-founder, co-venture, member or otherwise, solely or jointly with others engage in any business that is in competition with the business of the Employer within any geographic area in which the Employer conducts its business, or give advice or lend credit, money or the Employee's reputation to any natural person or business entity engaged in a competing business in any geographic area in which the Employer conducts its business.
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Non-Solicitation.

Non-solicitation clauses are restrictions that seek to prohibit employees from poaching customers or suppliers once they leave. Typically, the more senior the employee and the more access they have to sensitive commercial information, the more likely it is that restrictive covenants will be included – and found to be enforceable by courts.

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The Employee understands and agrees that any attempt on the part of the Employee to induce other employees or contractors to leave the Employer's employ, or any effort by the Employee to interfere with the Employer's relationship with other employees and contractors would be harmful and damaging to the Employer. The Employee agrees that during the Employee's term of employment with the Employer and for a period of
after the end of that term, the Employee will not in any way, directly or indirectly:
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Conflict of Interest.
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During the term of the Employee's active employment with the Employer, it is understood and agreed that any business opportunity relating to or similar to the Employer's actual or reasonably anticipated business opportunities brought to the attention of the Employee, is an opportunity belonging to the Employer. Therefore, the Employee will advise the Employer of the opportunity and cannot pursue the opportunity, directly or indirectly, without the written consent of the Employer, with the exception of investments in:
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Personal investment in less than
of the equity of a business;
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Termination of Employment.
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The Employee and the Employer agree that reasonable and sufficient notice for termination of employment by the Employer is
.
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If the Employee wishes to terminate this employment with the Employer, the Employee will provide the Employer with
notice period.
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Disciplinary Procedure.

The Employer could start formal disciplinary action against the Employee if they have concerns about work, conduct or absence. Before taking formal disciplinary action or dismissing the Employee, the Employer may try to raise the matter informally. However, the Employer can go straight to their formal disciplinary or dismissal procedures. Disciplinary procedures are a set way for the Employer to deal with disciplinary issues. The Employer should include a disciplinary hearing where the Employee is given a chance to explain your side of the story. There should also be a chance to appeal any disciplinary action the Employer decides to take. More at https://www.gov.uk/disciplinary-procedures-and-action-at-work/overview

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The Employer's disciplinary procedure, as amended from time-to-time, applies to the Employee. The Employer's disciplinary procedure is
and will be provided to the Employee or made available to the Employee upon request.
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If there is a conflict between this Contract and the Employer's disciplinary procedure,
shall prevail.
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Grievance Procedure.

Grievance refers to injustice, or wrong that affords reason for resistance or a formal expression in form of a written complaint.

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The Employer's grievance procedure, as amended from time-to-time, applies to the Employee. The Employer's disciplinary procedure is
and will be provided to the Employee or made available to the Employee upon request.
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Contract Binding Authority.
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Notwithstanding any other term or condition expressed or implied in this Contact to the contrary, the Employee
have the authority to enter into any agreements or commitments for or on the behalf of the Employer without first obtaining the written consent of the Employer.
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Collective Agreement.

The 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. More at https://www.gov.uk/employment-contracts-and-conditions/collective-agreements

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There
a collective agreement in place , details of which are available to the Employee upon request.
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Confidential Information.
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The Confidential Information will include all data and information relating to the business and management of the Employer, including but not limited to:
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The Confidential Information will not include information that:
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The Confidential Information will also not include anything developed or produced by the Employee during the Employee's term of employment with the Employer, including but not limited to, any intellectual property, process, design, development, creation, research, invention, know-how, trade name, trade-mark or copyright that:
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The obligation to ensure and protect the confidentiality of the Confidential Information imposed on the Employee by this Agreement and any obligation to provide notice under this Agreement will survive the expiration or termination, as the case may be, of this Agreement and will continue
from the date of such expiration or termination.
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The Employee may disclose any of the Confidential Information:
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The Employee agrees that, upon request of the Employer or upon termination or expiration, as the case may be, of this employment, the Employee will return to the Employer all Confidential Information belonging to the Employer, including but not limited to, all documents, plans, specifications, disks or other computer media, as well as any duplicates or backups made of that Confidential Information in whatever form or media, in the possession or control of the Employee that:
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Notice.
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Any notice or other communications shall be deemed given upon personal delivery to the appropriate address, or if sent by certified or registered mail
days after the date of mailing to the following:
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To: Employer.
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Individual Name:
.
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Company:
.
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Phone:
.
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Email:
.
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To: Employee.
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Individual Name:
.
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Company:
.
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Phone:
.
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Email:
.
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Applicable Law.
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This Contract shall be governed by and construed in accordance with the laws of Country of
and the parties submit to the exclusive jurisdiction of the Courts of England and Wales with regard to any dispute or claim arising under this Agreement.
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Pronouns; Statutory References.
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Interpretation.
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References to this Contract.
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Exhibits.
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Severability.
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Cooperation.
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Paragraph Headings.
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Counterparts.
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Entire Contract.
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,
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