S1 of the Employment Rights Act 1996 provides that an employer must give each employee a statement of terms of employment within 2 months of starting the employment. Those terms have to include specific items. Technically a statement of terms is not a contract; the employee does not even need to sign them.
A contract is required where the parties take the view that there are important additional matters which need to be spelled out to govern the relationship. These might include confidentiality, copyright and inventions, use of company cars etc.
Generally, the higher up the employment scale one goes, the more important it is to have a formal contract.
Before even getting to that stage, however, much head scratching may be required to know whether you are dealing with an employment situation. We now have different categories of people who work. Employees are just one. In addition there are Workers, Casual Workers, Agency Workers and Independent Contractors. For all sorts of reasons it is important for worker and employer to know what the position is.
To speak to our experienced employment law solicitors contact us now on 01869 252244 or use the contact form on your right.