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Employment Contract (Fixed Payment)

Employment Contract (Fixed Payment)

1. Appointment and Duration

1.1 The Company shall employ the Employee and the Employee shall work for the Company under the terms of this agreement.

1.2 The Employment shall commence on DATE and shall continue (subject always to the terms of this agreement) until terminated by either party serving notice in accordance with the provisions set out below.

1.3 The first DATE months of the Employment shall be a probationary period and the Company may terminate the Employment at any time during this period on X weeks’ notice.

2. Duties

2.1 The Employee shall be employed as JOB TITLE or such other role as the Company may require from time to time having regard to the needs of the business and the Employee’s skills, qualifications and experience.

2.2 Details of the Employee’s duties will be communicated upon commencement of employment. The Company reserves the right to vary the Employee’s duties from time to time as may be required by the business.

3. Place and hours of work

3.1 The Employee’s ordinary place of work will primarily be LOCATION but a different location may occur from time to time.

3.2 The Employee’s normal hours of work shall be TIME to TIME from Monday to Friday.

3.3 The Employee may from time to time be required to work such additional hours as are necessary for the proper performance of his duties. The Employee acknowledges that he/she shall not receive any additional remuneration for any such additional hours worked by him.

4. Salary

4.1 The Employee shall be paid a basic salary of AMOUNT per month. Payment will be made in arrears in equal monthly instalments and shall accrue from day to day. The salary will be paid out to the Employee on the E.G. FIRST BANK DAY OF A NEW MONTH.

4.2 The Employee acknowledges that the Company may at any time deduct from his basic salary, or such other amounts as may be owed to the Employee, any sums that may be owed by the Employee to the Company including, but not limited to, overpayment of annual leave, unauthorised expenses and outstanding loans.

5. Holiday

5.1 The holiday year runs from DATE TO DATE.

5.2 The Employee is entitled to NUMBER days holiday in any holiday year. In addition, the Employee will be entitled to the usual bank and public holidays as are recognised in COUNTRY.

5.3 The Employee may not, without the prior written consent of the Company carry forward more than NUMBER days holiday from one holiday year to the next.

6. Sickness or injury

6.1 In the event that the Employee is absent from work due to sickness or injury, he will inform his supervisor as soon as possible and will provide regular updates as to his recovery, and as far as practicable will inform his supervisor of his expected date of return to work.

6.2 If the Employee is absent from work due to sickness or injury for more than seven consecutive days the Employee must obtain a medical certificate from his doctor and submit it to his supervisor.

6.3 For any period of absence due to sickness or injury the Employee will be paid statutory sick pay only, provided that he satisfies the relevant requirements. The Employee’s qualifying days for statutory sick pay purposes are Monday to Friday.

7. Confidential Information

7.1 The Employee acknowledges that during the Employment he shall have access to and use of confidential information.

7.2 The Employee agrees that he will not (other than in the proper course of his duties under this agreement), either during the employment or at any time thereafter (unless authorised to do so by the Company in writing) directly or indirectly (i) use for his own benefit or the benefit of any third party or (ii) disclose or permit the disclosure of any Confidential Information.

7.3 The Employee agrees that he will at all times use his best endeavours to protect the confidential information and prevent the unlawful disclosure or publication of it.

7.4 The restrictions on the Employee’s use of Confidential Information shall not apply to:

Confidential information which comes into the public domain other than in consequence of his unlawful disclosure;

any information which the Employee has acquired other than through the performance of his duties for the Company; or any information which is required to be disclosed by the Employee by order of a court of competent jurisdiction or an appropriate regulatory authority or otherwise required by law.

8. Conflict of interest

8.1 During the Employment the Employee shall not undertake any paid or unpaid work for any other company, firm or organisation without the written approval of the Company.

9. Termination of employment

9.1 Subject to the following, the Company may terminate the Employment by giving to the Employee NUMBER months’ written notice.

9.2 Subject to the following, the Employee may terminate the Employment by giving to the Company NUMBER months’ written notice.

9.3 The Company reserves the right, at its discretion, to terminate the Employment immediately without giving the period of notice referred to above by paying to the Employee his basic salary (fewer deductions of tax and national insurance) in lieu of all or part of his notice period as the case may be. Such payment in lieu of notice shall not include any element in relation to any holiday entitlement that the Employee would have accrued had he worked the full period of notice.

10. Company Policies

10.1 The Employee is subject to the Company’s disciplinary and grievance policies, copies of which can be obtained from INSERT. The disciplinary and grievance policies are not contractual in effect and do not form part of the Employee’s contract of employment.

10.2 The Company may suspend the Employee for a period of up to INSERT weeks for the purposes of carrying out a disciplinary investigation into any allegations that might be raised against him. During such period of suspension, the Employee will receive his usual pay and benefits.

11. Collective Agreements

11.1 There are no collective agreements which affect the Employment.

12. Entire Agreement

12.1 The Employee and the Company acknowledge and agree that the provisions of this agreement set out the entire agreement and understanding between them and that it supersedes all prior discussions, arrangements or agreements that might have taken place in relation to the Employment.

13. Amendments

13.1 No amendments to this agreement shall be valid or binding upon the parties unless it is recorded in writing and signed by or on behalf of the parties.

14. Governing Law and Jurisdiction

14.1 This agreement shall be governed by and construed in accordance with the laws of COUNTRY.

14.2 Each of the parties irrevocably submits for all purposes in connection with this agreement to the exclusive jurisdiction of the courts of INSERT COURTS.

15. Other terms

15.1 INSERT ANY OTHER TERMS

What should be included in an Employment Contract (fixed payment)?

Our Employment Contract template is all ready to use in our template library. It includes what we have determined to be all necessary elements for a fixed term Employment Contract. However, our templates can be amended as you see fit. We have included the following: 

  • The appointment date and duration of the employment. This section will need to include any probationary periods. 
  • The duties the post holder will be expected to perform and the post’s job title. 
  • The place and hours of work. The contract should also deal with how overtime is expected to be paid for here. 
  • The post’s salary. Any salary clause or section needs to break down when the salary will be paid, but also how any overpayments are dealt with or any unauthorised expenses.
  • Holiday days. A good Employment Contract needs to stipulate the dates the holiday year runs from and to. Plus, the amount of days the employee is allowed per year, as well as recognition of how the company deals with public holidays. If a company allows employees to carry forward holiday days, this is the section to outline the process. 
  • Sickness or injury. In this section, the contract will outline what is expected of an employee if they are ever absent for sickness or injury. Companies may wish to include a clause that stipulates how long an employee can be absent without a medical certificate from a doctor as well as how or if sick days are paid. 
  • Confidential information. For companies to be comfortable that none of the sensitive information it handles is leaked, a confidential information section should be included in any Employment Contract delineating how confidential information should be dealt with by employees. It also needs to outline what will happen to an employee should they disclose confidential information that identifies any law breaking by the company. 
  • Conflict of interest. A clause needs to be included which explains that an employee cannot work for another company (competitor or not) without approval. 
  • Termination of employment. This section outlines how long the company must give the employee when terminating the position and vice versa. 
  • Company policies. Outlining the fact that a company has policies (like disciplinary and grievance policies) is crucial to include as well as how long a company can suspend an employee if they need to during any disciplinary investigation. 
  • Finally the governing law, amendments and agreement sections. The last few sections of a fixed-term Employment Contract should outline where the contract is valid and make a connection to how any previous agreements and discussions are superseded by the signed Employment Contract. 

When should I use a fixed-term Employment Contract? 

Fixed-term contracts should be used in any situation where companies are taking on another member of staff for a set amount of time. Common ones are for the use of a maternity leave contract whereby a new employee has been brought into the company to take over the role of an individual who is on maternity (or paternity) leave. As a result, the new employee is only required for a certain period of time. It could also be that an interim employee is needed to cover staff absence due to a long term sickness, or simply when using contract employees in projects or seasonal work.

Why do I use a fixed-term Contract of Employment?

You use a fixed term contract of employment so that both parties involved know what is expected of them before the employment begins. When it comes to fixed term Employment Contracts, it is crucial to include how long  the term is for. By doing  so there is absolutely no room for confusion as to how long a person is expected to be employed. Depending on the jurisdiction, this can be a very important measure when it comes to terminating the contract without additional delay due to labor legislation.  

Where and how do I use a fixed-term Employment Contract sample? 

Our templates can be amended as and when required, in any situation where a new employment agreement is needed. Doing so means there is no need for a fresh new contract every time a new fixed term employee starts at a company. That is a big time and cost saving. Plus, our software can help automate the process of creating Employment Contracts as well as ensuring that contracts are saved properly and any follow up work from the contract is conducted. For example, you may find that you want a Partnership Agreement or need a bylaws contract signed. 


Plus, when it comes to fixed term Employment Contract templates, our app is a fantastic piece of software to use to help ease the administrative burden. Our app and our templates, when used in conjunction with one another, means that all the drafting, signing, storing, executing and automating of new contracts can be done in one place. That is a big help to both the new employee and your company alike. 


Ultimately, by signing a fixed term Employment Contract far more easily from the very start of a working relationship, you are left only with the benefits that an Employment Contract provides. Both sides know what they need to do to fulfill the contract and therefore are far more likely to do so. A more profitable and mutually respectful relationship can thus begin.


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