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Employment Laws were created to establish guidelines and guidelines for both employees and employers and provide security and structure to both. They comprise laws that span state, local as well as national levels.
Their significance cannot be understated. Employment (or the labour) laws form the base of our economy! In the past, they have evolved to reflect the ideals that we believe in as a society and our ideal of equality for everyone. If a business is in violation of the law, it could have severe consequences due to government fines and legal action. Therefore businesses must follow the top practices to safeguard the health and safety of their company and its staff.
A straightforward and efficient method to implement a best-practices model is using four documents the Letter of Offer Letter, Employment Agreement, Employee Handbook and if needed, the termination Letter. When used in this order, all the documents will provide the most effective protection for the relationship between employer and employee.
Employee Offer Letter
The first step of an employer-employee relationship is to use an Offer Letter. Although there isn’t a legal requirement to offer a letter of offer, it has significant legal importance and is the basis for discussions. The job responsibilities, the relevant information of the business, and the conditions (background screening, drug tests and so on.) Pay and benefits are included in this form and can be a good starting stage in negotiations.
The offer letter can be so precise that it is all you require from an employee, especially when the job is an entry-level position. However, in higher-level jobs, a completed Employment Agreement is essential. Employment agreements are often overlooked; however, not including this important document as part of your company’s hiring process is an extremely costly mistake.
An Employment Agreement is a legally binding document that offers security and protection for both parties. Benefits, wages and termination procedures, confidentiality and intellectual property protection and non-solicitation for clients are usually included in this agreement. This document is an excellent opportunity to start an effective working relationship because of the structure, safety, and stability it brings.
One of the most effective protections for employers is using the employee Handbook. If it is well-written, it is a very valuable tool to inform employees about the company’s right policies, expectations, and values. The Handbook also informs employees about their rights and responsibilities as employees. The Employee Handbook is an evolving document that is frequently checked, updated and adapted as the company grows. The Employee Handbook is the first stop for HR when it’s time for them to terminate an employee due to reasons like a conflict with your business and numerous other actions employees could do to harm your business.
The final document, known as the Termination Letter, has much important information that employers need to be cautious to use properly. The date of termination, as well as the reasons for the termination, are crucial components. Included are reminders to keep confidentiality in mind, requests for the return of equipment, compensation, and the outline of what will be the consequences for their benefits. Terminating a working relationship is an arduous and stressful event. The letter of termination provides the clearest path to resolving any remaining issues.
Get Your Employment Practices Buttoned Up
Mid-sized businesses often do not possess employee manuals that effectively safeguard them, but they do need to be a well-oiled company. They must be positioned to grow. Employment law is legally binding rights, obligations, and safeguards employers have for employees. Formal documentation such as Agreement Letters, Offer letters, employee handbooks, and termination letters is the most reliable way to go about any aspect of the employment/employer relationship.