Employment agreements

What is an employment agreement?

An employment agreement sets out the terms and conditions of your job. Under the law, your employer must provide you with a written employment agreement, no matter what kind of job you do. You can have an individual agreement, or if you join a union, a collective agreement.

An employment agreement is agreed to by both the employer and the employee. An individual employment agreement is just between you and your employer and may be similar to any collective agreement in your workplace. A collective agreement is negotiated by a union representing employees who are members of the union.

Your employment agreement is the most important document about your job. Make sure you sign it and keep a copy of it in a safe place.

What does an employment agreement look like?

An employment agreement is a legal document that contains the ‘terms and conditions’ of your employment.

An individual employment agreement must include:

  • Employer & Employee – your name and your employer’s name as you are both ‘parties’ to the employment agreement
  • Position – the position which you are employed in (e.g. shop assistant).
  • Duties – what type of work you will be required to do as part of your job (e.g. customer service, point of sale, keeping the shop and items tidy)
  • Place of Work – where you will be required to work.
  • Working Hours – what hours you will be required to work. If you change your working hours, you and your employer should update your employment agreement with the new hours.
  • How and what you will be paid for your work.  Your pay must be at least the minimum wage if you are 16 or older. Your wages must be paid in money (i.e. in cash, cheque, or transfer of funds into your bank account), not in goods or services provided.
  • Public Holidays – your employment agreement has to say that you will be paid at least time-and-a-half for any time worked on a public holiday. You still get all other public holiday rights covered by the law, even if they are not written into your employment agreement.
  • Resolving Employment Relationship Problems – your employment agreement has to contain an explanation of the steps that should be taken to deal with workplace problems if they happen. It is important that both you and your employer follow these steps if you have a problem at work.
  • Employee protection provision – your employment agreement must say what process the employer will follow in restructuring situations, such as jobs being reorganised or cut.
  • Some things (like rest and meal breaks, or four weeks annual holidays) do not need to be in your employment agreement but your employer must still provide them by law. If you and your employer agree to better terms and conditions these should be recorded in your employment agreement.
  • Your employment agreement can also contain other terms and conditions that you and your employer have agreed to.  Click here to see what things are minimums in law and what are negotiable.

Click here for information about collective agreements.

What are the minimum terms and conditions of employment?

Your employment agreement will set out terms and conditions and your entitlements during your employment.  Some things are covered by law and an employment agreement can’t provide for any lesser conditions or trade offs for other conditions (such as no sick leave in exchange for a higher pay rate).  There are many things however that are not covered by law, and instead are things which may appear in your employment agreement, e.g. how much notice you have to give when you want to leave your job, or whether your employer still pays you when you are away from work on jury service.

Can I make changes to the employment agreement before I agree to it?

If you would like to change something in your employment agreement you have the right to negotiate with your employer about it.  Your employer is required, when offering you the job (or changing any terms and conditions if you are in the job already), to give you a copy of the intended agreement and time to seek advice about the agreement before you accept.  The employer should be prepared to listen to any concerns or issues that you have and respond to them.

Can I get advice on the employment agreement before I agree to it?

You have the right to get some advice on an employment agreement before you agree to and sign it. It’s a good idea to take it away and have a think about the conditions it offers you.

You can ask your parents, your careers advisor at school or someone you know who has been an employer or employee to have a look at your employment agreement before you agree to it and give you some advice.

See also: Can I have somebody assist me when I talk to my employer?

Can my employment agreement change?

Sometimes employment agreements change because an employer or employee needs a change, such as a change in work hours. This should be agreed to by you and your employer and the employment agreement should be updated and signed again to include the change.

If you do not agree to the change, you (or your representative) need to let your employer know that you do not agree.  This is because your silence can be taken to mean acceptance of the change.

Click here for more info about changes.

What should I do if I don't have an employment agreement?

By law, your employer must give you a written employment agreement before you start work.  Your employer must keep a signed copy of your individual employment agreement.  If you don’t have a copy, ask your employer for a copy – they must give you a copy if you request it. 

If you have never been presented with an employment agreement, you and your employer can use the employment agreement builder, to help you draft up the agreement.

Even if you don’t have a written employment agreement, you still get all the minimum rights in law. Anything you agree with your employer verbally, can be binding as well. Also, what actually happens each day and week at work can over time become part of the terms and conditions of an employment agreement - this is called custom and practice.

I have asked for a copy of my individual employment agreement and my employer won’t give me one. What can I do?

A Labour Inspector has the power to ensure you are provided with an employment agreement.  Phone 0800 20 90 20 to speak to an Information Officer, who can talk you through what steps you need to follow.