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An Employment Statement Form is a legally mandated document that you must provide to your employees within two months of their employment starting. This comprehensive statement establishes the fundamental terms and conditions of the employment relationship, ensuring both parties understand their rights and obligations under England and Wales employment law.

When do you need this document?

You need to prepare an Employment Statement Form whenever you hire a new employee, regardless of whether they work full-time, part-time, or on a fixed-term contract. The Employment Rights Act 1996 requires you to provide this statement within two months of employment commencing. You'll also need to issue updated statements when making significant changes to employment terms, such as alterations to pay rates, working hours, or job responsibilities. This requirement applies to all employees in England and Wales, including those on probationary periods or temporary contracts exceeding one month.

Key legal considerations

Your Employment Statement Form must include specific mandatory information to comply with legal requirements. Essential details include employee and employer information, start dates, job titles, place of work, and remuneration details including salary and payment frequency. Working time arrangements, including standard hours and overtime policies, must be clearly specified alongside holiday entitlements and booking procedures. The statement should also cover notice periods for termination, disciplinary procedures, and any collective agreements affecting the employment. Under the Data Protection Act 2018, you must also explain how employee personal data will be processed and protected. Failure to provide a compliant statement can result in employment tribunal claims and compensation awards of up to four weeks' pay.

Legal requirements in England and Wales

England and Wales employment law, primarily governed by the Employment Rights Act 1996, sets strict requirements for employment statements. Recent changes introduced through the Good Work Plan and Employment Act 2008 have expanded the mandatory information requirements. You must now include details about probationary periods, training entitlements, and benefits such as sick pay and pensions. The Working Time Regulations 1998 require clear specification of working hours, rest breaks, and annual leave calculations. Under the Equality Act 2010, your statement must not contain discriminatory terms and should reflect equal treatment policies. National Minimum Wage Act 1998 compliance must be evident in your remuneration clauses, ensuring all pay rates meet or exceed statutory minimums. The statement must be provided in writing, either as a physical document or electronically, and should be easily accessible to the employee throughout their employment.