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No matter the size of your business, hiring a new full-time employee is an occasion worth documenting. You can formalise your new working relationship by drafting an employment agreement with details that include employee responsibilities, hours of work and rate of pay.
Read on for more information on when you should use an agreement, what to include and how to write your own.
An employment agreement (full time) is a contract establishing a formal relationship between an employer and a new full-time employee. It serves to clearly set out the rights and obligations of both the employee and the employer.
You can use an employment agreement (full time) when hiring a new employee. Ideally, the document should be signed by both parties before the employee's start date.
An enterprise agreement is an optional agreement from an employer that sets out employment terms and conditions for a group of employees. The employment agreement, by comparison, is for an individual employee.
In Australia, enterprise agreements are commonly used by companies with a large number of employees which are industry or occupational specific. They can be used to set out the minimum employment conditions that apply to your business and employees.
Employment agreements can differ depending on the industry and even the particular employee but there are a few key pieces of information that are usually included in a full-time employment agreement. These include:
A well-drafted employment agreement clearly documents in writing the relationship between an employer and an employee. It ensures that the employment relationship starts on the right foot and can save time and money if a dispute arises.
No, you do not need a lawyer to prepare an employment agreement. Navigating Australia's complex labour and employment laws can pose a challenge for employers, though, so if your employment arrangements are complicated or you're just starting out, you should consider personalised advice from a lawyer.
An employment agreement template is a good place to start and a happy medium between going it alone and hiring a lawyer.
An employment agreement doesn't need to be overly complicated and other than the names and addresses of the employee and employer, it can be as basic or as detailed as required. Generally, the agreement should cover the basic duties and responsibilities of the employee's work.
Here are some steps to follow when drafting an employment agreement for full-time employees:
Many legal templates are fully customisable and guide you through the process online before you download or print the final version. Here is a selection of websites that allow you to view or download an employment agreement (full time) template for free.