How much does an employment contract cost?

How much does an employment contract cost?

It is customary for an employer to provide and pay the costs of the employment contract because it is in their best interests to determine the terms and conditions of employment. Having a clear written employment contract can prevent many disputes arising between and employer and employee. It can also save time and money in the event a dispute does arise. An employer can create an employment contract from scratch or even by using templates that can be obtained online.

However, this is not recommended because the employment contract could be legally invalid. If this were to happen, the employer may find themselves spending a lot of money on legal costs and could even end up having to pay the employee compensation if their rights were breached. It is therefore recommended that an employment contract is obtained from an experienced solicitor.

In the case of a straightforward employment contract, most solicitors will charge a fixed fee of no more than £500. If you find they are charging more than this, you should shop around because it is likely you will find a solicitor who will prepare an employment contract for you at this price.

Employment contracts that are not straightforward, like senior management or director contracts, can exceed £1,000 depending on whether the contract needs to be negotiated with them and the complexity of the contract itself.

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