Practical Employment Contract Advice for Employers and Businesses
Employment contracts are a foundation of the employer-employee relationship. A well-drafted contract should clearly define the employee’s role, remuneration, obligations, and entitlements while protecting the business’s legitimate interests.
Problems often arise when employers rely on generic templates, use contracts that have not been reviewed for several years, or fail to consider how the contract interacts with applicable modern awards, enterprise agreements, and workplace legislation.
At Hentys Lawyers, we act exclusively for employers. Our employment lawyers assist Melbourne and Australian businesses with drafting, reviewing and updating employment contracts to ensure they remain appropriate for the role, the business and the current workplace environment.
For urgent WorkCover and Employment matters, please call Timothy Ashton at any time on 0416 094 174.
Where Employment Contracts Go Wrong
An employment contract should reflect the actual employment relationship. Using the same template across every position can create problems where employees have different responsibilities, remuneration structures, award coverage or seniority.
Some of the most common issues we see include:
- Using one employment contract template for every role
- Failing to consider the interaction between the contract, applicable modern award or enterprise agreement, particularly rates of pay
- Using contracts that have not been updated following changes to workplace laws
- Vague position descriptions or duties
- Poorly defined salary, bonus or remuneration arrangements
- Overreaching or poorly drafted restraint clauses
- Failing to ensure the employment contract is signed before the employee commences work
A contract that was suitable when an employee first joined the business may no longer be suitable as their position, remuneration, or responsibilities change.
Important Clauses in an Employment Contract
The appropriate terms depend on the role and business, but employers should generally consider:
Duties and Hours
Clearly defining the employee’s position, responsibilities and working arrangements.
Remuneration
Clear salary, bonus and set-off provisions, taking into account applicable workplace entitlements.
Confidentiality and Intellectual Property
Protecting confidential business information and intellectual property during and, where appropriate, after employment.
Notice and Termination
Clearly establishing contractual obligations when the employment relationship ends.
Post-Employment Obligations
Appropriate confidentiality, restraint and other obligations designed to protect legitimate business interests.
Dispute Resolution
Establishing a process for dealing with disputes arising from the employment relationship.
Are Your Employment Contracts Outdated?
Review employment contracts at least annually, and whenever workplace laws, awards, business structures, or employee roles change.
Outdated contracts can expose employers to issues including:
- Underpayments
- Unlawful or outdated clauses
- Outdated casual employment provisions
- Unenforceable restraints
- Contracts that no longer align with workplace policies and procedures
Employers should also consider how contracts interact with the National Employment Standards, modern awards and enterprise agreements.
How Hentys Lawyers Can Help
Hentys Lawyers provides employment contract advice exclusively to employers. We can assist with:
- Drafting new employment contracts
- Reviewing and updating existing contracts
- Remuneration and set-off clauses
- Modern award and enterprise agreement interaction
- Confidentiality and intellectual property provisions
- Restraint-of-trade clauses
- Senior and executive employment contracts
- Contractual disputes
Our employment lawyers for employers can also assist with performance management, workplace investigations, termination and Fair Work matters.
Our Expert Employment Contract Legal Team in Melbourne
Our team combines extensive employment law knowledge with practical experience advising employers on workplace contracts, providing clear, commercially focused advice on contract drafting, reviews, remuneration, restraints and ongoing compliance.
Contact Our Employment Contract Lawyers at Hentys Today
Call our office on (03) 8615 4200 or email timothy.ashton@hentys.com.au
To find out more about our services, please complete our enquiry form.
Employment Contract Advice for Employers
Whether you’re hiring a new employee or reviewing existing employment arrangements, Hentys Lawyers can help ensure your contracts appropriately reflect your business and workplace obligations.
For urgent WorkCover and Employment matters, please call Timothy Ashton at any time on 0416 094 174.