The employment contract, and why it's so crucial

If used effectively, an employment contract is an extremely helpful asset to guide the relationship between employer and employee. Abrie Bronkhorst provides valuable advice on this crucial management tool.

-  Abrie Bronkhorst

The employment contract is the most important document in the employment relationship. If used effectively, it can be invaluable to the employer and employee. When there is a dispute in the workplace, the employment contract, as the basis of the relationship between the employer and employee, is the document that all parties fall back on.

This is why it is so important that this agreement also protects and affirms your rights as an employer, while still being in line with applicable legislation. By having the employment contract in place, you will be positioned correctly for the employment relationship.

Pay particular attention to the following aspects in the employment contract.

WRITTEN OR VERBAL

The biggest mistake you can make as an employer is to fail to implement written employment contracts and relying on verbal agreements. The Basic Conditions of Employment Act (No. 75 of 1997) requires the employer to provide an employee with written conditions of employment when he/she commences working for the company, entity or organisation.