When entering into a contract, there are certain standard levels of agreement that are necessary before two parties can settle for employment. These are known in employment law as the essentialia negotii, or essential terms. Without these terms present and well-defined in a contract, an agreement may not be considered valid. As a result, a lack of essential terms can contribute a contract being considered non-binding in court.
Of the different terms that are generally accepted as being necessary for a reliable contract, one of the most important is the price or payment for services. Without settling on wages, it can be particularly difficult for an employee to ensure a fair wage for his or her job, regardless of the duties entailed. Although certain jurisdictions may allow the price from a contract to be waived, these jurisdictions also provide that a reasonable price must be expected all the same. Generally speaking, while price can be determined after a contract, wages may not.
The allowed employee holidays or time off must also be decided prior to hiring. This can culminate in a contract that provides employees with a distinct calendar for what days are free and how much time they are permitted to freely take off. Without this information being provided prior to the signing of a contract, disputes can arise over religious or personal concerns.
One of the more important standards that must be provided in a contract is the term for employment and under what grounds termination can be considered. If an employee does not have a clear understanding of what sort of employment time-frame they are working with, there can be contests over employment term length regarding fixed-term projects.
For more information regarding employment law and the rights of workers and employers during the hiring process, contact an employment attorney.