Contract of Employment

Contract of Employment in United Kingdom

Definition of Contract of Employment

In accordance with the work A Dictionary of Law, this is a description of Contract of Employment : (contract of service)

A contract by which a person agrees to undertake certain duties under the direction and control of the employer in return for a specified wage or salary. The contract need not be in writing, but under the Employment Rights Act 1996 the employee must be given a *written statement of terms of employment. Implied in every contract of employment are a duty of mutual confidence and trust, the employer’s duty to protect the employee from danger and risks to his health, and the employee’s duty to do the work to the best of his ability. Employees who have been continuously employed in the same business for certain minimum periods (See continuous employment) have statutory rights, relating for example to *unfair dismissal and *redundancy, that do not apply to the self-employed. A self-employed person is engaged under a contract for services and owes his employer or customer no other duty than to complete the specified work in accordance with the terms of the individual contract; he is not otherwise under the direction or control of the employer as to how or when he works.

Termination of a contract of employment in breach of the terms of the contract is *wrongful dismissal and may be remedied in the county court or the High Court or by an employment tribunal In such an action the court is not concerned with “fairness” but purely with compensating for a breach of the terms of the contract.


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