An employment contract has to live up to many rules. In addition to that, there are a number of small items which are advisable to be included.
In general terms, the employees employed after the 1.7.1993 must have a written contract latest 1 month the beginning of the employment. Remember that the rules depend on whether the employee is a white-collar worker, a shop assistant/delegate, clerk or an employed managerial staff.
Employment contract ought to include:
1. The names of the employee and the employer
2. The type of work including the description of the fields of responsibility
3. The place of work. If there is no a permanent place of work, then the place where the job is mainly done, information about that the job is done in deferent places and the address of the employer or of the headquarters.
4. The beginning date and perhaps the duration of the employment if the contract is of definite period.
5. The employees’ entitlement to paid holidays and information about holiday pay
6. Terms of notice for both the employee and the employer
7. Information about the pay and when it is paid out to the employee, including information about benefits in kind, company car and other salary bonuses. It can be courses, books, scientific magazines, telephone and pension. Benefits in kind/ bonuses ought to be specified including the description of the calculation methods. If an employee is legally entitled to a company car, the contract ought to specify that the car must be returned at the time of the termination, perhaps specification of severance pay or pension benefits after termination of employment or payments to the spouse in the case of death.
8. Working time
9. Collective agreements that cover the work conditions. If the agreement is entered between parties outside the company, the names of the parties should be mentioned.
If the employee is to be posted, the contract ought to include:
1. The duration of the work abroad.
2. Currency in which the salary is paid
3. Fringe benefits abroad
4. The conditions for the return
5. And whether the employer has taken steps to get the necessary attestations in connection with the stationing.
Other important elements in an employment agreement:
1. Rules about professional secrecy
2. Intellectual property and inventions
3. Rules about the representation costs
4. Non performance due to illness
5. Loyalty rules for the employees
7. Breach of contract
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