Written or Oral Contracts

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Employment is a relationship between an employers and employees. This relationship is extremely important, as it becomes a part of our daily life. Aside of being a professional relationship, in many cases it becomes a personal and expressive one. In today’s work place, if the conditions of employment are excellent, and the employees are treated with fairly, it is more likely that they will be pleased, and their productivity will increase. However if the environments in the work place are poor or not suitable, we will have the total opposite results. To avoid any complications or misunderstandings between employers and employees, this relationship is governed by rules and laws. The basis of these rules is the ESA (Employment Standards ACT), of which the human resource managers and top management should be fully aware of. In the unionized world, the negations of a collective agreement will clarify all the specifics between management and employees. In the non-unionized world, these specifics are controlled in an employment contract, weather this contract is of a fixed-period of time or indefinite. When a vacancy is created, by a shortage of employees or market demand, the management will try to fill this position(s) with the best qualified person(s) for the job. In order to do this, the management must consider the changes in the marketplace, which helps the management hire the best qualified amongst the applicants. Job description is a written list of duties that the company expects it employees to perform. This will help the employer to follow up on the performance of the employees. This way if an employee is performing to the specific requirements outlined by the job description, may be a subject for discipline. However an excessively specific list of duties can have an opposite result, for example if a management delegates a duty not specified in the job description he/she may face a liability for constructive dismissal. In order to avoid these consequences, an employer may add that the job could include additional duties. When the vacancy is created, the management may choose to redefine and update the job description according to the company’s need, without being in violation of constructive dismissal. In this phase, there are important issues to be discussed. The first issue is the monetary or remuneration offered to the selected person. This includes salaries, bonuses, benefits, pension plan, employee discounts, etc. In defining the pay level, the employer must be careful to follow the guidelines of the law when it comes to pay equity to both men and women performing the same job. They also should be aware of the minimum rate of pay set by the government of each province. The next stage is to determine the conditions of the employment. The employer can offer the hired person a written or oral contract for an indefinite period of employment. Another option is a fixed period contract, at the end of which the employer has the choice of renewal or termination without any legal consequences. The employer must consider all the options that are beneficial to the company.

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