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Contract & Commercial Law vocabulary · Employment Contracts

Employment contract

Meaning in contract & commercial law, with examples

nounCore term

In contract & commercial law, employment contract means: A contract between an employer and an employee that sets out the job, pay, working hours, holidays and the rules for ending the relationship.

In Turkish: iş sözleşmesi, hizmet sözleşmesi, iş akdi

How it is used

Also called a 'contract of employment' (UK, more formal) or an 'employment agreement' (US, especially for senior staff). Many terms are fixed by employment law and cannot be reduced by contract, such as the minimum wage and statutory leave.

Example sentences

  1. Her employment contract includes a six-month non-compete clause.

  2. The employment contract can be terminated by either side with one month's notice.

Common collocations

  • sign an employment contract
  • fixed-term employment contract
  • permanent employment contract
  • terms of the employment contract
  • notice periodThe length of time between giving notice to end a contract and the date on which the contract actually ends.
  • non-compete clauseA clause that stops a person or company from competing with the other party, for example by working for a rival, for a limited time and in a limited area.
  • dismissalThe ending of an employee's contract by the employer, whether for misconduct, poor performance, redundancy or another reason.
  • independent contractorA person or business that provides services to a client under a contract for services, without being the client's employee.
  • severance payMoney paid by an employer to an employee whose job ends, often based on length of service and sometimes required by law.

This word in other fields

The same English word can have a different meaning in another field:

More terms: Employment Contracts

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This page explains English vocabulary for learners. It is not legal advice.