Contract of Employment
A legally binding agreement between employer and employee setting out terms of employment.
Also: employment contract · employment agreement
Definition
A contract of employment is a legally binding agreement between an employer and an employee that sets out the terms and conditions of the employment relationship, including job title, responsibilities, compensation, benefits, working hours, notice period, confidentiality obligations, and grounds for termination. It can be written, verbal, or implied, though written contracts are strongly recommended and legally required in many jurisdictions. Employment contracts protect both parties' rights and form the basis for resolving disputes.
Example
“Before joining, the new marketing director reviewed her employment contract with a lawyer to understand the non-compete clause, which restricted her from joining a competitor for 12 months after leaving.”
Synonyms
- employment contract
- job contract
- employment agreement
- offer letter