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Master Employment Contract Template for England and Wales

A Master Employment Contract is a comprehensive legal document governed by the laws of England and Wales that establishes the fundamental terms and conditions of employment between an employer and employee. It covers essential aspects including compensation, benefits, working hours, leave entitlements, confidentiality obligations, and termination provisions, while ensuring compliance with UK employment legislation including the Employment Rights Act 1996 and Equality Act 2010.

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What is a Master Employment Contract?

The Master Employment Contract serves as the primary agreement governing the employment relationship under English and Welsh law. It is typically used when establishing new employment relationships or standardizing terms across an organization. This contract type includes detailed provisions on roles, responsibilities, compensation, benefits, working conditions, and termination procedures, while ensuring compliance with UK employment legislation. The Master Employment Contract is particularly valuable for organizations seeking to maintain consistent employment terms and protect their interests while providing clear terms to employees.

What sections should be included in a Master Employment Contract?

1. Parties: Identification of employer and employee with full legal names and addresses

2. Background: Context of the employment relationship and purpose of the agreement

3. Definitions: Key terms used throughout the agreement

4. Position and Duties: Job title, responsibilities, and reporting lines

5. Compensation and Benefits: Salary, bonuses, and other benefits

6. Working Hours: Standard working hours, overtime provisions, and rest periods as per Working Time Regulations

7. Holiday Entitlement: Annual leave, public holidays, and holiday booking procedures

8. Sickness and Absence: Sick pay, notification requirements, and medical certificates

9. Confidentiality: Protection of company confidential information and trade secrets

10. Data Protection: Compliance with UK GDPR and Data Protection Act 2018

11. Intellectual Property: Ownership of IP created during employment

12. Termination: Notice periods, grounds for termination, and payment in lieu of notice

13. Disciplinary and Grievance: Reference to company procedures and ACAS Code

What sections are optional to include in a Master Employment Contract?

1. Garden Leave: Provisions allowing employer to require employee to stay away from work during notice period while remaining employed

2. Post-termination Restrictions: Non-compete, non-solicitation, and other restrictive covenants

3. Commission Structure: Detailed commission calculations and payment terms for sales roles

4. Flexible Working: Provisions for hybrid or remote working arrangements

5. International Travel: Requirements and compensation for international work

6. Share Options: Participation in company share schemes or option plans

What schedules should be included in a Master Employment Contract?

1. Schedule 1 - Job Description: Detailed outline of role, responsibilities, and reporting structure

2. Schedule 2 - Company Policies: Key workplace policies including IT, social media, and expenses

3. Schedule 3 - Bonus Scheme Rules: Detailed rules and calculations for bonus payments

4. Schedule 4 - Benefits Package: Comprehensive description of benefits and eligibility criteria

5. Schedule 5 - Restrictive Covenants: Detailed post-employment restrictions and definitions

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Jurisdiction

England and Wales

Document Type

Master Agreement

Cost

Free to use

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