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3 Reasons Why An Employment Contract Is Important

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When looking for a job, you sometimes oversee the importance of having an employment contract because either you’re eager to start a new career or you need to earn some money. Usually, part-time workers or on-call workers don’t have an employment contract, but when you’re applying for a permanent job in companies, government positions, etc., they provide a contract in which they will discuss to you the terms and conditions of your employment. When you agree to these terms, you and the representative personnel of the company will sign on it. An employee contract protects your interests as well as the employer, but only if you read and understand it yourself or with the help of employment lawyers.

Just like any other jobs, it is expected of you to do what they ask of you. But you should know that it must be within the right terms and parameters,  this is where an employment contract comes in.

Here are three reasons why having a contract of employment is essential:

Gives You a Detailed Job Description

In your employment contract, you get the entire description of what is your job in the company, the specific tasks that you need to carry out, and the overall responsibilities that you must comply. Also stated in the contract is your span of employment, in this case, there can be different kinds of contract. It can be a part-time contract wherein you will work in the company for a specific period only like a 6-month contract, or a full-time or permanent deal. You can also see the details of the salary that will be given to you upon starting, as well as other commissions. With all these information, you prevent yourself from having any confusion or second thoughts in your job.

Informs You of Your Rights and Benefits

Person Holding Pen in Front Of Contract

It is imperative that you know the rights and rules of the company that you will be working in. In this way, you will prevent yourself from any complications with your employer in the future. A contract contains your rights as well as the rights of your company. In case of intellectual property, the company that you're applying for will have the ownership to your projects or research. As for the benefits such as health insurance, promotions, vacation leave and other additional perks that your employer can provide will also be stated in the contract.

For Future Legal Actions

Having a contract of employment, also give you and your company future proof for any case that may arise such as unfair dismissal western Australia or wrongful termination. You can rely on your employment contract if ever you want to contest something that you know is not within your contract and ignores your rights or anything you might feel that’s wrong while working for the company. Your contract must be within the parameters of the legal requirements stated by the law of employment. Any legal action you may wish to pursue in the future can also depend on what you signed in your employment contract.

Make sure that you carefully read through your employment contract, anything that is written on it, for it will define how you will work and how you can rely on the company that your rights are entirely justifiable.

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