This Employment Contract template is designed for use in Pakistan when establishing formal employment relationships between companies and individuals. It incorporates mandatory provisions required by Pakistani labor law, including the Industrial and Commercial Employment Standing Orders Ordinance, Factories Act, and various social security legislations. The document is suitable for both fixed-term and permanent employment arrangements, providing comprehensive coverage of essential employment terms while ensuring compliance with local statutory requirements. It includes provisions for remuneration, benefits, working conditions, and termination procedures as mandated by Pakistani federal and provincial labor laws, making it a crucial document for formalizing employment relationships in Pakistan.
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1. Parties: Identification of the employer and employee with complete legal names and addresses
2. Background: Brief context of the employment relationship and purpose of the agreement
3. Definitions: Key terms used throughout the agreement defined for clarity
4. Appointment and Term: Position title, employment status (permanent/temporary), and commencement date
5. Duties and Responsibilities: Main responsibilities, reporting structure, and performance expectations
6. Place of Work: Primary workplace location and any mobility requirements
7. Working Hours: Standard working hours, overtime provisions, and break periods as per local law
8. Remuneration: Base salary, payment schedule, and method of payment
9. Benefits: Statutory benefits including social security, EOBI, and other mandatory benefits
10. Leave Entitlements: Annual, sick, casual, and public holiday leave provisions
11. Confidentiality: Protection of company confidential information and trade secrets
12. Termination: Notice periods and grounds for termination as per Pakistani law
13. Governing Law: Specification of Pakistani law as governing law and jurisdiction
14. Entire Agreement: Standard clause confirming this document as the complete agreement
1. Probation Period: Details of probationary period if applicable (typically used for new employees)
2. Commission Structure: For sales or commission-based roles, detailing commission calculations and terms
3. Non-Competition: Restrictions on working with competitors (typically for senior positions)
4. Intellectual Property: IP rights assignment clause for technical or creative roles
5. Remote Working: Terms for remote work arrangements if applicable
6. Performance Bonus: Structure and conditions for performance-based incentives
7. Training Requirements: Mandatory training commitments and associated terms
8. Transfer Clause: Terms regarding potential transfer to other locations/subsidiaries
9. Vehicle Allowance: Terms for company vehicle or vehicle allowance if provided
10. Medical Insurance: Additional medical insurance coverage beyond statutory requirements
1. Schedule 1 - Job Description: Detailed breakdown of role responsibilities and requirements
2. Schedule 2 - Compensation Structure: Detailed breakdown of salary components and benefits
3. Schedule 3 - Company Policies: Key company policies that form part of the employment terms
4. Schedule 4 - Performance Metrics: Specific KPIs and performance evaluation criteria
5. Schedule 5 - Code of Conduct: Company's code of conduct and ethical guidelines
6. Appendix A - Statutory Benefits: Details of all statutory benefits as per Pakistani law
7. Appendix B - Leave Policy: Detailed leave policy including application procedures
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