How to Create Your own Employee Contract

If you need an Employee Contract or Employment Contract you can either make one yourself, (time intensive) get a lawyer to create one for you (big bucks!) or buy a template online (probably your best option for cost effectiveness and time).

Whatever you choose, using an Employee Contract Template is going to save a colossal amount of time. Employing your staff with the right documents is critical if you want to ensure you limit your liability.

Are you willing to risk it?

An employee contract or employment contract is essential.

It is important that you are aware of what is in the contract and implement it each time you engage a new employee. Employing staff can be a challenge (so can working with the Boss!).


Your Expectations

If you employ a staff member that ends up creating issues for your business, you want to know where you stand when it comes to terminating them.

Terminating a team member’s employment is not the nicest experience for anyone. However, turning a blind eye to poor behavior or dangerous or illegal behavior could jeopardize your whole business. It will also have significant impact on the rest of your team.

That is the last thing you need!

Easy Access

Obviously – you need to abide by all the rules and regulations of the State or Territory that your business resides in. However, just getting most of the content together shouldn’t be the world’s hardest task. Also it shouldn’t cost you an ‘arm and a leg’ in lawyers fees.


Communication is Key

A contract will ensure both parties know the rules. YAY! Communication makes a big difference. Be surprised how many businesses just ‘wing it’ and hope for the best.

However, if you are building a strong, reputable business and are around for the long haul, then doing it properly makes perfect sense.

It is important that you make sure your employees read the contract thoroughly. Before they start work with you is best so they know all the rules and what is expected of them.

Don’t just give it to them and walk away. Meet with them and go through each point so it is clear.

A good quality contract should be easy to read but still go into sufficient detail.

Of course, you cannot foresee all of the issues, however you certainly can make sure you cover as much as possible.

Implementing the correct employee contract is certainly going to make a difference in your business. It will ensure that you have clear communication channels between your staff and your management team or yourself if you are the business owner.


Easy Ways to Create an Employee Contract

A contract of employment is something that you should provide to your newly hired employees prior to them commencing work with you. It is imperative that you provide this document to them to ensure a smooth-sailing relationship between the two of you.

If you want the creation of this contract to be made even easier, then an template is something that you should consider using. You can either purchase a template online or contact your lawyer so he will draw up the documents for you.

But if you want to do it yourself, then rest assured that there are several ways for you to accomplish this.

You just have to consider a lot of important things to make the contract extremely effective.

Follow This List

The first thing that you need to do when creating a contract for employment is to provide some space to identify the parties involved in the contract. The space should be enough to fill the full names of both parties.

number-02Next you should include the name of the company, telephone numbers, addresses and any other essential information.

number-03Following on, the next thing that you need to do is to choose the specific law and location that will govern the contract. This is needed to ensure that there is indeed a governing law that will be used whenever there are legal issues that need to be resolved.

It may also depend on the type of position – are they professional – white collar or blue collar staff members?

number-04Fourthly you should add in all your expectations. You may have references to other documents such as your Procedure Manual or Quality Manual or your policies.

number-05The last thing that you need to do when creating an employee contract is to ensure that parts of the contract are understandable. This will allow both of you to work together without getting confused along the process.


Why Must you Use a Contract to Employ Staff?

If you are an owner of a company and you are employing a number of employees, then you are aware of the fact that carefully choosing people to be part of your team can be very beneficial to you.

If you employ people who are unreliable, then there is a risk your business will fail . That can be pretty obvious, but sometimes business owner’s emotions get in the way of rationale decisions.

Because of this, it is important for you to carefully interview people so you will be able to determine if they are qualified for the offered position/s. Once they are hired, provide them a contract of employment which states their duties and responsibilities to your company.

What Else is Required?

The contract should also state what your staff can expect from you during the period of their employment. To make the process of creating employment contracts easier, use an employee contract template. This will save you from spending too much time creating contracts each time new people are hired.

An employment contract is indeed a useful tool when it comes to ensuring that all your employees work productively. A contract clearly states the responsibilities of employees, they will know exactly what they need to do for the company to flourish.

The contract will also serve as a bond between you and your employees.

It allows both parties to build a stronger and smoother relationship.


What is in an Employee Contract?

A contract of employment serves as an agreement between your business and your employees. It highlights to you both your expectations from the moment they start working in the office.

To make the job of creating a contract easier, use a template. Then you only need to make minor changes. These would be filling in the name, address, salary information and any other details applicable to the job position. All the other stuff will be standard for each employee – YAY!

Typically, an employment contract usually contains information like the names of both parties. Also essential details of the organization and number of hours that an employee needs to follow each day. Then, their salary expectation, the probation period and the process of termination.

It also contains the start date of the employee and specific information about the entitlement of leave such as sick leave, holiday leave and maternity or paternity leave.

Job titles and duties of employees and certain disciplinary procedures in the office are also stated in the contract. The employer may also add other details in the contract based on specific advice from their lawyer.

Considering the many details that should be included in an employment contract using a template is a significant advantage.


Employee Contracts for Beginners

If you are just a beginner in the field of employing staff know that providing an employment contract is recommended. It is considered to be an effective approach when it comes to improving your relationship with them.

What has a monkey got to do with it? Nothing really – just wanted to see if you are still reading down this far or if you have fallen asleep.

Expectations will be much clearer once the contract is created and understood by both of you. This is invaluable when there are disagreements.

If you want to obtain assurance that contracts can be easily created whenever new people are employed in your company use a template.

However, there are a few things that you need to keep in mind when looking for a template

When looking for the best employee contract template, it is important for you to use a contract that can can be understood. Since both parties stated in the contract will work with each other, you have to make sure that both of you easily comprehend the terms within the employment.

The template should also have spaces for certain details that clearly state what your employees can expect from you and what you can expect from them in return.

When you consider these things, then you will be on your way towards easily creating the contract that both you and your employee need.

A stronger relationship is expected to be built from a contract that clearly states what needs to be stated. This cannot be understated!


Employment Contract Templates Save Time

Getting the right employment contracts in your business makes a difference. It will make a difference to the performance of your team. Then ultimately the performance of your business.

Engage staff using a detailed employment contract as this then makes it fair when any disagreements arise.

There may be laws in your country that would override your employment agreements. It makes sense to check this out. Combine the relevant laws for your state in the agreements you create for your staff. You may need assistance from a lawyer for this.

Treat your team well and treat them fair and they should work well for you.

However, you need to also keep them honest. If they are taking you for a ride then communicate to them how their behavior is not welcomed.

Quick and Efficient

An employment contract template allows you to generate these agreements quickly and efficiently without fuss. This allows you to save significant time and money. It also allows you to get on with the job of running your business and not spending half your time trying to get information together that someone has already done before.

There is no point in reinventing the wheel!

If you are looking to engage staff then ensure you use an employee contract template. It will allow you to cover all the basics so that you can have some peace of mind should things go bad between your team member and yourself.


Why you Need to use an Employee Contract Template

An employment contract is a legal document. This document contains the agreement between an employer and an employee with regards to what both of them can expect from each other within the period of employment.

If you are an owner of a company, then an employment contract is something that makes you and your business more transparent.

Instant Benefits

An Employment Contract:

  • Builds trust between you and your employees;
  • Communicates clearly and accurately;
  • Is more professional;
  • Builds your business;
  • Sets high standards;
  • Saves time and stress;
  • Prevents future disputes.

A template:

  • saves tons of time;
  • avoids rework;
  • reminds you of the important aspects that you may have forgotten;
  • speeds up your daily processes;
  • reduces stress.

A newly hired employee should expect to receive a contract from the moment they are hired.

If you are an employer, then an employee contract template ensures that you complete the process of hiring employees in the fastest possible time.

You never know how many employees will start to work in your company, so prepare for the future. To help the employer and the employee maintain a smooth sailing relationship an employee contract is required.

If you are looking for an effective template, then you have three choices.

You can get a lawyer and allow him to create the template, purchase a template online or do the job yourself. Once you are able to set up a contract template, you will be on your way towards providing your new employee the contract of employment the fastest time possible.


Learn More

Read more about Digital Documents Direct’s Employment Contract Template at the following link. Employment Contract Template

Got any comments? Please share below to get the discussion happening.

One thought on “How to Create Your own Employee Contract”

  1. Great articles. Contract between employees and employers are certainly important. I had a situation once where I thought I could have no contract. Learnt my lesson there.

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.