{{org_field_logo}}
{{org_field_name}}
Registration Number: {{org_field_registration_no}}
Employment Contracts Policy
1. Purpose
The purpose of this policy is to provide a clear framework for employment contracts at {{org_field_name}}. This ensures compliance with employment legislation, promotes fair treatment of all employees and workers, and provides clarity on contractual terms. This policy aligns with the Employment Rights Act 1996 and other relevant UK employment regulations. As a temporary staffing agency (employment business and/or employment agency), {{org_field_name}} will also comply with the Employment Agencies Act 1973 and the Conduct of Employment Agencies and Employment Businesses Regulations 2003 (as amended), including requirements on terms, suitability checks, transfer fees, record-keeping and information to work-seekers and hirers.
This policy also reflects key statutory rights and protections including the Agency Workers Regulations 2010, the Working Time Regulations 1998 (as amended), the Equality Act 2010, National Minimum Wage legislation, right-to-work checking obligations, and data protection law (UK GDPR and the Data Protection Act 2018).
2. Scope
This policy applies to all employees, workers, and agency staff engaged through {{org_field_name}}, whether on a full-time, part-time, temporary, or zero-hours contract basis. It also covers agency workers supplied to third-party organisations. The policy ensures that all individuals engaged by the organisation understand their contractual rights, responsibilities, and the terms under which they are employed or engaged. It applies across all levels of employment, including administrative staff, healthcare professionals, and support workers.
3. Definitions
- Employee: An individual with a contract of employment who works under the control and direction of the employer and is entitled to full employment rights, including unfair dismissal protection and redundancy pay.
- Worker: A person who undertakes work or services personally but has more flexibility and fewer rights than an employee. Workers are entitled to the National Minimum Wage, holiday pay, and protection against discrimination but do not have full employment rights.
- Zero-Hours Contract: A type of contract where there is no guarantee of work, but the individual retains statutory employment rights such as holiday pay and National Minimum Wage.
- Agency Worker: A worker supplied by {{org_field_name}} to work temporarily for and under the supervision and direction of a hirer (client). Agency workers have “day one” rights to access collective facilities and amenities at the hirer (unless objectively justified) and to be informed of relevant job vacancies with the hirer. After the 12-week qualifying period in the same role with the same hirer, agency workers are entitled to equal treatment in basic working and employment conditions (for example, pay, duration of working time, night work, rest periods and annual leave) compared with a comparable direct recruit.
- Employment Business / Employment Agency: For the purposes of the Employment Agencies Act 1973 and the Conduct Regulations 2003, {{org_field_name}} may operate as an “employment business” (supplying temporary workers) and/or an “employment agency” (introducing candidates for direct engagement by a hirer).
- Hirer (Client): The organisation to which {{org_field_name}} supplies a temporary worker and which supervises the worker on assignment.
4. Employment Contract Types
Employment contracts at {{org_field_name}} may take the following forms:
- Permanent Full-Time Contracts: Employees work a set number of hours per week and receive statutory employment rights, including sick pay, holiday pay, and pension contributions.
- Permanent Part-Time Contracts: Employees work fewer hours than full-time employees, with pro-rata entitlements to statutory employment rights.
- Fixed-Term Contracts: Employees work for a specified period, with the same rights as permanent employees for the duration of the contract. Fixed-term contracts are commonly used for project-based roles or maternity cover.
- Zero-Hours Contracts: Workers are not guaranteed work but can accept or decline shifts offered. This type of contract provides flexibility but must comply with employment laws regarding pay, holiday entitlement, and working hours.
- Temporary Contracts: Workers are engaged for short-term assignments with agreed terms, often to cover staff shortages or seasonal demands.
- Agency Worker Assignments: Workers engaged through an agency to perform work for a third-party client. After 12 weeks of continuous service, agency workers are entitled to the same basic working conditions as permanent employees.
5. Key Contractual Elements
All employment contracts will include the following key terms:
- Job Title and Description: Outline of duties and responsibilities, ensuring clarity on the role expectations.
- Start Date and Probationary Period: Where applicable, details of any probationary period, including conditions for successful completion.
- Written Statement of Employment Particulars (Day One): Where legally required, {{org_field_name}} will provide workers and employees with a written statement of employment particulars (including the principal statement) no later than the first day of work. Where any particulars change, {{org_field_name}} will provide written notification of the change within the statutory time limits.
- Remuneration: Hourly, weekly, or monthly pay rate, compliance with National Minimum Wage, and pay frequency.
- Working Hours: Expected working hours, shift patterns, and any on-call requirements, ensuring compliance with the Working Time Regulations 1998.
- Holiday Entitlement and Holiday Pay: Statutory holiday entitlement is 5.6 weeks per leave year (pro-rated for part-time workers). Holiday pay will be calculated in accordance with the Working Time Regulations 1998 (as amended). For irregular-hours workers and part-year workers, for leave years beginning on or after 1 April 2024, statutory holiday entitlement may be calculated as accruing at 12.07% of hours worked in each pay period (subject to the statutory cap). Where applicable, rolled-up holiday pay may be used only for irregular-hours and part-year workers for leave years beginning on or after 1 April 2024; if used, it will be clearly itemised on payslips and expressly stated in the individual’s contractual terms.
- Sick Pay and Leave: Eligibility for statutory sick pay and any company sick pay policy, as well as procedures for reporting absences.
- Notice Period: Required notice for termination by either party, with minimum statutory requirements outlined.
- Confidentiality and Data Protection: Protection of sensitive information in compliance with GDPR, including policies on data handling and access.
- Disciplinary and Grievance Procedures: Processes for addressing misconduct or disputes, ensuring fair and transparent handling of workplace issues.
- Pension Contributions: Auto-enrolment details under the Pension Act 2008, outlining employer and employee contribution requirements.
6. Compliance with Employment Legislation
All contracts will adhere to relevant UK employment laws and regulatory requirements, including (where applicable):
- Employment Agencies Act 1973 (core statutory framework for employment agencies and employment businesses).
- The Conduct of Employment Agencies and Employment Businesses Regulations 2003 (as amended) (rules on terms, suitability checks, fees/transfer fees, information to work-seekers and hirers, and record-keeping).
- Employment Rights Act 1996 (core employment protections and written statement requirements).
- Agency Workers Regulations 2010 (day-one rights and equal treatment after the 12-week qualifying period).
- Working Time Regulations 1998 (as amended) (working time limits, rest breaks, annual leave and holiday pay).
- National Minimum Wage Act 1998 and National Minimum Wage Regulations 2015 (pay compliance).
- Equality Act 2010 (non-discrimination in recruitment, selection, assignments and at work).
- UK GDPR and the Data Protection Act 2018 (lawful processing, security, retention and handling of special category data).
- Immigration, Asylum and Nationality Act 2006 (right-to-work checks and illegal working prevention).
- Health and Safety at Work etc. Act 1974 (co-operation with hirers to support safe placements and suitable induction/information).
- Modern Slavery Act 2015 (where in scope, including transparency obligations and controls to prevent labour exploitation).
- Employment Relations (Flexible Working) Act 2023 (statutory flexible working request process changes effective 6 April 2024).
- Carer’s Leave Act 2023 (statutory unpaid carer’s leave effective 6 April 2024).
- Protection from Redundancy (Pregnancy and Family Leave) Act 2023 (extended redundancy protection effective 6 April 2024, where applicable).
- Neonatal Care (Leave and Pay) Act 2023 (statutory neonatal leave and pay effective 6 April 2025, where eligibility applies).
7. Agency-specific contracting and pre-assignment checks (Conduct Regulations)
{{org_field_name}} will ensure that, before supplying a work-seeker to a hirer, the parties receive the terms and information required by the Conduct of Employment Agencies and Employment Businesses Regulations 2003 (as amended), including where applicable:
- the capacity in which {{org_field_name}} acts (employment business and/or employment agency);
- confirmation of pay (or the method for calculating pay), the interval of payment, and any lawful deductions;
- the type of work, location, expected hours/working pattern, and any relevant health and safety information provided by the hirer;
- any role requirements notified by the hirer (for example, experience, training, qualifications, professional registration, immunisations where lawful/necessary for the role);
- confirmation that appropriate suitability checks have been completed (for example identity, right-to-work, references where required, qualifications/professional registration; and DBS checks where lawful and required for the role/hirer);
- accurate record-keeping of offers, assignments, and changes to terms, and prompt written notification to affected parties where terms change.
8. Amendments and Updates to Contracts
Changes to contracts may be required due to business needs, legislative changes, or operational requirements. Amendments will be communicated in writing, and agreement will be sought where required by law. Employees and workers will be given adequate notice of any contract variations, and discussions will take place where necessary to ensure mutual agreement.
9. Record-Keeping and Documentation
All employment contracts and any amendments must be documented and retained in personnel files. Digital and physical records will be kept securely, in compliance with data protection laws, ensuring that employee details are stored safely and only accessible by authorised personnel.
10. Policy Review
This policy will be reviewed annually or sooner if required due to changes in legislation or operational needs. Regular reviews ensure compliance with employment laws and industry best practices, maintaining fair and lawful employment conditions at {{org_field_name}}.
Responsible Person: {{org_field_registered_manager_first_name}} {{org_field_registered_manager_last_name}}
Reviewed on: {{last_update_date}}
Next Review Date: {{next_review_date}}
Copyright © {{current_year}} – {{org_field_name}}. All rights reserved.