Examples of Implied Terms in Employment Contract

When entering into an employment contract, there are certain terms that are explicit and clearly spelled out. However, there are also implied terms that are not directly stated but are still legally binding. These implied terms help to regulate the relationship between employers and employees and ensure a fair and just working environment. In this article, we’ll explore some examples of implied terms in employment contracts.

1. Duty of Mutual Trust and Confidence

This term implies that both the employer and employee will act in good faith towards each other and not do anything that would harm the employment relationship. For instance, an employee should not disclose confidential company information, while employers should not discriminate against employees.

2. Duty of Care

This term implies that employers have a responsibility to ensure the safety and well-being of their employees. This includes providing a safe work environment, appropriate training, and equipment necessary for the job. Employers must also provide support to employees who suffer physical or mental illness as a result of their work.

3. Duty to Provide Work

This term implies that employers must provide work to their employees in return for payment. In situations where there is no work available, employers may be required to provide compensation to their employees.

4. Duty to Pay

This term implies that employers must pay their employees for the work they have completed. This includes payment for overtime work, commissions, and bonuses. Employees should be paid in accordance with their employment agreement, and employers must ensure that they comply with minimum wage laws.

5. Duty of Fidelity

This term implies that employees must be loyal to their employer and act in their best interests. This includes not competing with the employer, not soliciting their customers, and not disclosing confidential information.

6. Duty to Give Notice

This term implies that employers must give employees reasonable notice of any changes that will impact their employment. This includes significant changes to job duties, pay, or working hours. Similarly, employees must provide notice of their intention to resign.

7. Duty of Good Faith

This term implies that both employers and employees must act in good faith towards each other. This includes honesty, fairness, and open communication.

In conclusion, implied terms in employment contracts help to regulate the relationship between employers and employees and ensure a fair and just working environment. Employers and employees should be aware of these terms to ensure that they comply with their legal obligations. If you have any questions about the terms of your employment contract, it`s always best to seek legal advice.

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