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Types of Employment Contract

Courtesy/By: Joanna Mathias | 2021-01-15 14:21     Views : 723

An employment contract is a bilateral service and remuneration exchange arrangement for some time. It is the type of personal service contract that the courts consider as representing the employer and employee's social relationship, as opposed to the other relationships. Depending on the individual's job status, different forms of contract apply. Though India's labor laws do not explicitly require that an employment contract is in writing, all the terms and conditions of employment negotiated and signed by all parties are primarily market practice. Employment contracts are usually known as 'unlimited duration' contracts in India, i.e. contracts that are valid until termination or superannuation unless expressly recognized as a' fixed term 'contract. There are three primary categories of employment contracts: contracts for permanent employment, fixed-term contracts, and contracts for casual employment.

 

  • Permanent Employment Contracts

For workers who work normal hours and are paid a wage or hourly rate, permanent employment contracts apply. The contracts are continuing until either the employer or employee terminates them and can be for full or part-time jobs. Employees are entitled to the full spectrum of contractual employment rights in terms of these contracts.

  • Fixed Term Contracts

Fixed-term contracts offer fixed end date, such as six months or one year, for example. If you want to cover maternity leave, hire a broad project, or take on interns, you may want to consider this form of contract. Fixed-term jobs are safeguarded and have the same rights as permanent workers (including unfair dismissal and redundancy pay after two-year service). Since they're fixed-term, you can't sell them on less favorable terms. The fixed-term can be extended with consent, but for more than four years, you can typically not retain someone on fixed-term contracts; they become permanent employees at this stage. If the employee continues to work but is not officially renewed past the end date of the contract, there is an 'implicit understanding' that the end date has changed, and the employer also has to provide a proper notice period.

  • Casual Employment Contract

For circumstances where you want a person to commit to working for you, the casual employment contract is acceptable, but you are not sure how many hours of work you will be able to give them each week and can not guarantee a daily working pattern. The contract should define the minimum number of hours you expect them to work per week, with the understanding that the working schedule is likely to fluctuate, and the hours provided above this minimum. Individuals on these contracts will receive holidays based on the number of hours worked and will be entitled to workplace rights, including statutory sick leave, were eligible, and minimum statutory periods of notice. 

 

 

Job contracts in the new industrial age have come a long way. The existence of employment contracts guarantees that all employers and workers are clearly defined and properly accepted by all terms and conditions of employment.



This Article Does Not Intend To Hurt The Sentiments Of Any Individual Community, Sect, Or Religion Etcetera. This Article Is Based Purely On The Authors Personal Views And Opinions In The Exercise Of The Fundamental Right Guaranteed Under Article 19(1)(A) And Other Related Laws Being Force In India, For The Time Being.

Courtesy/By: Joanna Mathias | 2021-01-15 14:21