Contract of employment template
A clear and comprehensive contract of employment that sets out rights, responsibilities, and terms between employer and employee.
10 mins to read, 15 mins to prep
3 A4 pages / c.966 words
Reviewed 15 September 2025
Compliance
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Workflow window
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Timings
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Contract of employment
Statement of Employment Particulars
This statement is provided in accordance with Section 1 of the Employment Rights Act 1996 and forms part of your contract of employment. It sets out the main terms and conditions of your employment with [Employer Name].
Where the wording refers to the Employee Handbook or Company policies, these are available on request and form part of your employment framework. This statement is intended to be clear and transparent and to reflect both statutory minimums and the Company’s good employment practice.
1. Employer and Employee Details
Employer: [Employer name], [Employer address]
Employee: [Employee name], [Employee address]
Job Title: [Job title]
Start Date: [Start date]
Continuous Employment Date: [Continuous employment date]
2. Probationary Period
You will be subject to a probationary period of [number] months from your start date. This period allows both you and the Company to confirm suitability for the role. Your manager will review progress during probation, provide feedback and reasonable support, and record outcomes.
The Company may extend the probationary period where, in its reasonable opinion, further time is required to assess performance. During probation, either party may terminate employment by giving [shorter notice period]. Any extension or change to probation will be confirmed to you in writing, with reasons and the duration of the extension.
3. Place of Work
Your normal place of work will be [address]. You may be required to work at other locations as reasonably required by the employer. Where relocation or regular travel would cause unreasonable hardship, the Company will consult with you and seek to agree a suitable arrangement prior to any change.
If your role includes homeworking or hybrid working, specific arrangements will be set out separately and are subject to review.
4. Duties and Responsibilities
You will carry out the duties set out in your job description and any other reasonable tasks required by the employer from time to time. The Company may update your job description to reflect changing business needs; any major changes will be discussed with you in advance. You are expected to comply with reasonable managerial instructions and to perform your duties to the standard reasonably expected for your role.
5. Pay
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Rate of Pay: £[amount] per [hour/week/month/year].
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Payment Frequency: Paid [weekly/monthly] in arrears/on [day] by [method].
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Deductions: Any deductions required by law (e.g. PAYE tax and National Insurance) will be made from your pay. Other deductions (for example, for overpayments or agreed benefits) will only be made with your prior written consent or where permitted by law. The Company will provide payslips detailing pay and deductions.
The Company is committed to pay practices that are fair and transparent and which meet statutory requirements, including the National Minimum/Living Wage where applicable.
6. Hours of Work
Your normal hours are [number] per week, worked between [days/times]. Reasonable additional hours may be required to meet business needs; where this is expected to be regular and substantial the Company will discuss options such as time off in lieu or other arrangements in line with policy.
Working time, rest breaks and maximum weekly working hours are provided in accordance with the Working Time Regulations. Where flexible or agile working is agreed, the specifics will be recorded separately.
7. Holiday Entitlement
You are entitled to [number] days paid holiday per holiday year, plus [public/bank] holidays. Holiday entitlement is pro-rated for part-time employees. The holiday year runs from [date] to [date].
Holiday requests must be approved in advance by your line manager. The Company will endeavour to accommodate preferences but may refuse requests where operational needs require it; any refusal will be communicated promptly with reasoning. Unused holiday should normally be taken in the holiday year in which it is due, though carry-over may be permitted in line with statutory provisions and Company policy (for example where illness prevents taking holiday).
8. Sickness and Absence
If you are unable to attend work, you must notify your manager as soon as possible on the first day of absence and provide an indication of likely duration. Failure to follow the reporting procedure may affect entitlement to pay.
You may be entitled to Statutory Sick Pay (SSP) if you meet the eligibility criteria. The Company may operate an enhanced sick pay scheme; details are set out in the Employee Handbook. The Company encourages early and open communication about health issues so that reasonable adjustments and support can be considered where appropriate.
9. Pension
You will be enrolled into the company’s workplace pension scheme if eligible, in accordance with auto-enrolment legislation. Full details of the pension scheme, contribution rates and opt-out arrangements will be provided separately.
10. Notice Periods
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Employee: [notice period]
- Employer: [notice period]
After one month’s service, at least the statutory minimum notice will apply unless a longer period is stated above. Where the Company seeks to dismiss for gross misconduct, in accordance with disciplinary policy the Company may dismiss without notice where lawfully permitted.
11. Policies and Procedures
Your employment is subject to the Company’s policies and procedures set out in the Employee Handbook, which is non-contractual unless otherwise stated. These policies include, but are not limited to, equal opportunities, disciplinary, grievance, health & safety, data protection and absence management. The Company will make copies of key policies available and will consult with employees on significant changes.
12. Changes to Terms and Conditions
The employer may make reasonable changes to these terms and conditions to reflect changing business needs or legal requirements. Where a change is significant the Company will consult with you and provide written notice of the change. In circumstances where individual consent is required, the Company will seek to obtain it; where lawful variation without consent is necessary, the Company will act reasonably and proportionately.
Signed for and on behalf of [Employer Name]:
Signature: ___________________________
Name: ______________________________
Position: ___________________________
Date: _______________________________
Signed by the Employee:
Signature: ___________________________
Name: ______________________________
Date: _______________________________
Compliance
This document incorporates relevant laws and HR standards, including those listed below:
In the UK, it is a legal requirement for employers to provide employees with a written statement of their terms and conditions of employment on or before day 1 of employment that must include the following minimum legal requirements:
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Employer's details: Name and business address.
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Employee’s details: Name and job title (or description).
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Start date: When the employment begins.
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Job description: A brief outline of duties.
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Pay details: The amount of salary or wage, frequency of payment, and any benefits.
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Working hours: The days and hours the employee is expected to work.
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Holiday entitlement: The annual leave entitlement, including public holidays.
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Notice period: The required notice for termination by both the employee and employer.
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Place of work: The location where the employee will work (or a statement if they could be required to work elsewhere).
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Sick leave: Details of sick pay and leave arrangements.
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Pension rights: Information on pension schemes, if applicable.
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Disciplinary and grievance procedures: How disciplinary issues and grievances will be handled.
In addition:
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The contract of employment can be provided in paper or electronic format and should be easily accessible to the employee.
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It should be clear and easy to understand, with all terms and conditions explained in plain language.
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It must accurately reflect the agreed terms and conditions of the employment relationship, and that any changes to the terms and conditions are communicated to the employee in writing.
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It is important for both parties to carefully review and understand the terms and conditions of the employment agreement before signing.
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From 6 April 2020, the requirement to provide a written statement of terms and conditions extends to workers, not just employees. This includes casual and zero hours workers.

Purpose
This Contract of Employment template provides a formal agreement outlining the terms and conditions between the employer and employee. It covers essential details such as job role, hours, pay, and notice periods.

Having a well-drafted contract ensures clarity for both parties, helping to prevent misunderstandings and disputes during employment.
It demonstrates the organisation’s commitment to transparency, fairness, and compliance with employment law.
Direction:Global (check local legislation)
Workflow window
Check what resources come before or after this step to understand the workflow.

Company welcome letter
A welcome letter to a new employee gets them excited for their first day, prepares them for orientation and gives necessary first-day info.
Timings
Follow these best practice actions to get the most from this document, guiding you before, during, and after implementation:
Step | Description | Responsibility | Timing |
1 | Offer of Employment | HR/Management | When making a job offer |
2 | Acceptance of Offer | Candidate | Upon accepting the job offer |
3 | Prepare Statement of Terms | HR/Department | After acceptance |
4 | Review and Approval | HR/Management | Before finalisation |
5 | Issue Statement of Terms and Conditions | HR | Before the start date |