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Employment contracts vital (01/04)

Despite how routine contract negotiations are in the business environment, surprisingly few employers negotiate a written contract with new employees prior to hiring them on, according to a labour relations lawyer.

Despite how routine contract negotiations are in the business environment, surprisingly few employers negotiate a written contract with new employees prior to hiring them on, according to a labour relations lawyer.

In an increasingly litigious world, it is of paramount importance employers draw up an employment agreement before hiring, says Geoff Jeffery, a lawyer with Gatien-Braithwaite. The firm held a Labour Relations and Employment Law Seminar on Dec. 5 in Greater Sudbury.

An employment contract helps the parties identify exactly what has been agreed to, and avoids misunderstandings about the nature of the job, he explains.

“The frequency of wrongful dismissal acts demonstrates that this is an issue you really need to consider at the beginning of an employee-employer relationship,” Jeffery says.

The contract should deal with salary, working conditions and the nature of the job.

Equally important is the identification of circumstances by which the employer can change the nature of the job, he points out.

There have been instances where an employee has sued an employer for negligent misrepresentation.

“Candidates for employment are in a seller’s market,” Jeffery says.

Avoid the temptation to make a job appear more attractive than it really is. Be truthful and accurate about the position when hiring an employee.

Contracts should also have a detailed termination provision, which may help to avoid future litigation upon dismissal, he says.

Termination clauses will protect an employer from the actions of an employee and damage of the organization.

In the case of prospective employees with disabilities, “the best way to avoid duty-to-accommodate issues for candidates with a disability is to provide a successful candidate with a conditional offer,” he says.

Pre-employment drug testing is not justified and should never be carried out, he cautions.