What Should a Labor Contract Include?

A Labor contract is the type of contract that an employee should sign with his/her employer to make sure that the rights and obligations of both parties are respected.

The main items included in the labor contract should be:

1. The identity of the parts (name, address, phone, legal representative of the company and name, address, personal identification details, work permit details if necessary of the employee);
2.  The object of the contract: 1- 2 phrases describing the main activities performed by the employee for the company;
3. Validity of contract – permanent or temporary; if temporary, the contract must include ending date;
4. Place of work and conditions;
5. The name of the position that the employee is going to have; job description can be included in contract or separate;
6. Number of hours the employee will perform every day or if less than one hour/day, the number of hours/week  - part time or full time contract;
7. Vacation and free time details;
8. Salary and additional benefits if any;
9. Details concerning overtime payment;
10. Rights and obligations of the parties (employee and company);
11. Trial period for the employee;
12. Notice period in case of resignation;
13. Dismissal in case of deployment period (number of days the employee will still be working for the company from the moment the position he/she is on is no longer necessary in the company);
14. Clauses: confidentiality, mobility, not being allowed to work for the competition, obligations from the employee side in case he/she is sent to specific trainings/certifications, others if necessary;
15. Termination clauses;
16. Signatures of the parties.

The elements above are just a draft for you to get an idea. They may vary from country to country and may include more or less details.  What’s important for you is to make sure you sign such a document and ask for your copy signed by both parties. This will be your backup in case the company doesn’t respect their obligations in terms of salary, vacation, breaks, benefits or others.

Have a great evening, morning or day no matter where you are,

Geo