What is an employment contract?

We explain what an employment contract is and the types of contract that exist. In addition, what is the employment contract law and its elements.

1. What is an employment contract?

An employment document is called a legal document in which an agreement is signed between an employer (entrepreneur, store owner, organization manager, etc.) and a worker , which details the terms in which the relationship will be given. of work among them, that is, the terms according to which the worker will render his services to the employer , under his direction, and receive in return a salary or monetary compensation.

These terms must always be given within the provisions of the labor laws of the country or territory where the employment contract is signed. In the event that this is not the case, a contract will not be considered valid in the face of justice and its compliance cannot be legally claimed, that is, it cannot be binding, nor bind anything to those who subscribe it.

Every employment contract  contemplates a series of rights and obligations for both parties involved , which have the double mission of ensuring that the work is carried out in a preconceived and mutually accepted manner, also complying with labor rights and protections guaranteed by the Law for the worker.

2. Types of employment contract

Labor contracts, in principle, can be of two types:

• Individual . Those that concern only one person, who undertakes to provide a subordinate individual job, in exchange for the payment of a  pre-agreed salary .
• Groups . Also called Collective Labor Contracts (CCT), they are concluded between a workers’ union or a professional union, and one or more employers. By covering a more or less broad set of workers, these contracts tend to have greater laxity on the part of the employers, since they benefit from mass hiring.

3. Law employment contract

The labor contract laws of the different countries are legal tools contemplated within the constitutional framework of the nation , in which the legal parameters that regulate the hiring of workers are established.

That is: the body of laws that determine how the contractual hiring of a worker should be given , to ensure that both parties are backed by the law and that no fundamental rights are violated. This type of legislation varies according to the country.

4. Elements of an employment contract

Every employment contract must comply with the following elements:

• The identification of the parties involved: employer and worker (s).
• The start date of the employment relationship, and the closing date in case of a temporary employment relationship or its probable duration.
• The fiscal domicile of the company , or the place where the company or employer is legally based, since the one existing in this designated territory will be used as the legal framework behind the contract.
• The amount of the salary and the supplements you submit.
• The duration and distribution of the ordinary work day.
• The category or professional group in which the work to be performed is registered, as well as its description.
• The duration of the holidays and the conditions in which they will be enjoyed.
• The notice periods and the considerations on the interruption of the employment relationship.
• Applicable collective agreement, if any, as well as data for identification.