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What Is Contract of Employment? | HR Glossary | BambooHR

The legally binding agreement setting out the terms and conditions between employer and employee.

A contract of employment is the agreement that governs the relationship between employer and employee. It may be written, verbal or implied, but written terms give clarity and protection to both sides.

It sets out essentials such as job title, pay, hours, place of work, leave, notice and any specific policies. Some terms are expressly agreed; others are implied by law or custom.

Keeping contracts accurate and up to date — and issuing key terms promptly to new joiners — is both good practice and a legal requirement in many jurisdictions.

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