Contract of employment: types, rules and rights

The relationship between employer and staff member will depend upon the type of contact in place and the person’s employment status.

We take a look at the rules and rights that are integral to each type of contract. The main employment types in the UK are:

Full and Part Time

Employers are required under UK law to give full time and part time employees:

• A written statement of employment or a contract
• At least the statutory minimum number of holidays
• At least the statutory minimum length of rest breaks
• SSP (Statutory Sick Pay)
• Maternity and Paternity pay and leave
• Adoption pay and leave

Fixed Term

Employers are required under UK law to give staff on fixed term contracts:

• The same treatment as full time staff
• A fixed term contract for a specific length of time
• An end date when a specific task is complete
• An end date when a specific event takes place

Agency Staff

Employers in the UK can hire temporary staff through employment or recruitment agencies. This means that:

• The agency is is responsible for the workers rights under working time regulations
• The company pays the agency including National Insurance contributions and Statutory Sick Pay
• If the worker for the agency has 12 weeks or more service in the same role, they must be given the same rights, terms and conditions as permanent employees of the company. This includes breaks, holidays, pay etc
• Agency workers get access to the same shared facilities as regular workers such as canteens, staff rooms

Freelancers and Contractors

If an organisation in the UK hires a freelancer, consultant or a contractor, it means the freelancer:

• Is self employed or employed by another company
• Looks after their own National Insurance and tax
• They may not be entitled to the same rights as regular employed workers such as minimum wage

Zero Hour

Also known as casual contracts, these sorts of contracts are usually used for on-call workers or for piece work. This means that:

• The persona is on call to work whenever you need them
• The company is not obliged to give them work
• The person does not have to work when asked
• The company is not allowed to stop a zero hours worker from working elsewhere