Employer Checklist for Contracts of Employment

The Contract

As of 4 March 2019, the Employment (Miscellaneous Provisions) Act 2018 requires employers to furnish employees with a statement of specific terms within a period of five days of the commencement of employment as follows:

1. The full names of the employer and employee;
2. The address of the employer;
3. If the contract is temporary or fixed, the expected duration of same;
4. The rate of calculating pay and the pay reference period; and
5. The expected working day and working week.

Employers should note that the requirements of the Employment (Miscellaneous Provisions) Act 2018 are entirely separate to the Terms of Employment (Information) Act 1994 (as amended) which sets out the minimum written terms of employment that should be provided to an employee. It is a specific requirement that these terms are furnished to the employee in writing within two months of the commencement of employment.

Employers should note that the following written terms of employment are mandatory under the Terms of Employment (Information) Act 1994 (as amended):

1. The full names of the employer and employee;
2. The address of the employer in the State, or alternatively the principal place of business of the employer in the state or its registered office;
3. The place of work, or in circumstances where there is no fixed place of work then a statement should be provided that the employee is required to work at different locations;
4. The title of the employee or nature of work for which the employee is employed;
5. The date of commencement of employment;
6. The expected duration of the contract in the case of a temporary position or the date on which the contract expires in the case of fixed term contracts;
7. The rate or method of calculation of the employee’s pay;
8. The intervals between payment dates;
9. Terms or conditions relating to hours of work (including overtime);
10. Terms or conditions relating to paid leave (other than paid sick leave);
11. Terms or conditions relating to incapacity for work as a result of sickness/injury;
12. Terms of conditions relating to sick pay;
13. Terms or conditions relating to pensions and pension schemes;
14. The notice period an employee is required to give and receive to terminate the employment (or the method for determining the period of notice); and
15. Details of any collective agreement affecting the employee’s contract;

In addition to the foregoing, the National Minimum Wage Act 2000 requires the pay reference period to be set out in the contract.

The Organisation of Working Time Act 1997 also makes provision for the minimum break entitlements for employees. In general, an employee is entitled to a 15 minute break after 4.5 hours worked. An employee will be entitled to a 30 minute break after 6 hours worked, which can include the first break.

It is recommended that an employee’s break periods are included in the contract of employment.

Policies and Procedures

Whilst it is recommended that a full suite of Employment Policies and Procedures are furnished to an employee on commencement, employers should have specific regard to the requirement to have grievance and disciplinary procedures in place in accordance with the Labour Relations Commission Code of Practice on Grievance and Disciplinary Procedures.

There is also a statutory requirement pursuant to the Unfair Dismissals Act 1977 (as amended) to provide employees with a written disciplinary procedure, within 28 days of commencement of employment, that will apply prior to dismissal.

How we can help

If you have any queries or concerns, or would like to discuss the above in further detail, please feel free to contact Richard Lee, Partner, in the Employment & Benefits Department of BHSM on 01 440 8300 / rlee@bhsm.ie.

This article is for general information purposes.  Legal advice must be obtained for individual circumstances.  Whilst every effort has been made to ensure the accuracy of this article, no liability is accepted by the author for any inaccuracies.