In most countries across the world, at least some form of employment contract is a legal obligation. More advanced contracts can be developed with the aid of employment lawyers, while some are as simple a generic one-page document outlining basic pay rates and terms of employment.
One of the most common questions we get asked is whether or not employment contracts are mandatory in Australia. And actually, the short answer is that no, they aren’t. Note, though, that it’s generally a very good idea to sign a contract before you commence working to ensure you’re protected from potential issues in the future.
In the rest of this article, we’re going to have a quick look at employment contracts in Australia, when you should use one, and what different types there are.
Why Should I Have an Employment Contract?
If you don’t have to have a contract, then why bother? I mean, in the end, drafting a contract and then later contract negotiations takes time and can cost a significant amount of money – particularly if you do so with the aid of a lawyer.
However, there are numerous reasons why you should always ensure an employment contract is in place before work commences. As an employer, a contract: