Employment Contract in the UK - Free Template

While it’s technically not mandatory to have a written employment contract in the United Kingdom, employers are obliged to provide employees with a written statement of particulars on (or before) the first day of their employment.

What is an employment contract

An employment contract, often known as an employment agreement or contract of employment, is a legal document that establishes the working conditions of the employment relationship between an employer and their employee. There are different types of contracts based on the employer's needs: full-time, part-time, fixed, or indefinite.

What’s the purpose of an employment contract?

The purpose of an employment contract is to solidify the terms and conditions of employment between employee and employer by defining the responsibilities and obligations of the working relationship. By using this type of contract, employers can improve the employee experience and mitigate legal risks.

• Provide new employees with a clear understanding of their position and job responsibilities

• Offer stronger job security to employees by protecting their employment status with a legally binding contract

• Streamline dispute resolution by using the agreement as a source of truth to resolve workplace issues and avoid the rise in workplace arbitration cases. For example, if there’s a dispute over the amount of paid time off an employee is entitled to, either party can refer to the agreement for clarification

• Protect the company’s confidential information, intellectual property, rights to contract termination, and more

Elements of an employment contract in the UK

Employee contracts must be in English. They must be in writing and signed by both the employer and the employee.

A contract must include:

• Employer’s name

• Employer’s address

• Employee’s name

• Job title or job description

• Start date

• Contract term

• End date (for fixed-term contracts)

• Salary and salary frequency

• Number of hours and days of work, if and how they may vary

• Working hours specifications, if applicable (working on Sundays, during the “night period,” or overtime

• Holiday entitlement (and if that includes public holidays)

• Place of work and if employees are allowed to relocate

• Additional workplaces if applicable

• Probation period

• Benefits entitlement

• Obligatory training, and whether or not that’s paid by the employer

• Termination of employment conditions

• Start of previous employment if the employee if it accounts toward a period of continuous employment

What are international employment laws?

International employment laws, or labor laws, govern the terms of employment between an employer and employees residing in different countries. Local governments implement them to protect fundamental employee rights, promote job security, and improve employment terms globally.

The primary employment laws present throughout the world govern the following:

• Minimum wage

• Overtime pay

• Hours of work/workdays

• Rest breaks/rest days

• Employment contracts

• Employee benefits such as vacation days, sick leave, parental/maternity leave, and pension plan

• Probationary periods (or trial periods)

• Notice periods

• Background checks

• Payment methods

• Payment periods

• Payment frequency

• Payroll taxes

• Payroll records

• Termination

• Severance pay (if applicable)

Download a free employment contract template in the UK

Download our free employment contract template, covering essential elements like job duties, compensation, benefits, termination clauses, and confidentiality agreements and simplify your hiring process. Crafted by Deel’s legal experts, this template will streamline your HR tasks and safeguard your business.

Disclaimer: The content in this document is provided for general information purposes only and does not constitute legal advice. Consult with legal counsel and check compliance with local labor laws before sharing the agreement with your employee.