Before Signing an Employment Contract...

Getting a new job is exciting. But before you start work, your employer may require you to sign an employment contract covering your compensation, working conditions and termination pay you if you are fired. If you do not fully understand what you sign, you could be in for some nasty surprises later.

So here are the top things to focus on before you sign a contract of employment.

Job title and responsibilities

This is important because it defines the scope of what your exact role is, and what duties your employer can or cannot require you to do. The wider the job description, the more flexibility your employer will have to require you to take on more work, changing the goalposts. You should check that the job description adequately reflects the role you are applying for, and does not look to impose added responsibilities that you can't or don't want to do. Also check that the job title is correct.

Place of work

If you have agreed to work in a wide geographical area, your employer will be in a strong position if you object to a move at a later stage. If working remotely at home is a possibility and something you have discussed, then the contract should reflect this. Also, your rights to a redundancy payment could be adversely affected if you refuse to work in a new location, having previously agreed in your contract to do so.

Salary, benefits and bonuses

Make sure your employment contract reflects what was in your offer letter. You need to check there is provision for payment of other benefits that have been agreed, such as an enhanced pension, car, private health cover, equity or share options, bonuses and commission payments. Check if bonuses are guaranteed or discretionary. If based on performance, there should be set targets and an understanding of who decides whether the objectives have been met.

Hours of work

Don't agree a working pattern that you will later regret. It's best to negotiate a variation at the outset if necessary, including the possibility of flexible working if this is the only way you can get the job done. As well as hours of work, check whether there are any shift patterns, including whether you are required to work weekends or evenings, and if so, for what days and for how long? Also check if you are being asked to "work all the necessary hours that the job entails", and if so what is expected. Also check if you're required to do overtime, and if you will be paid for this.

Holidays

You cannot take holidays at the time of your choosing, so if you are limited as to when you can take them, this should be addressed with your employer. Whether you are prevented from taking holidays at certain times of the year. Or there is an entitlement to roll over any untaken holiday into the following year.

Notice

Check your notice is not unduly long or short. For most employees a notice period of one to three months is usual. A notice period that is too long could hamper you being able to take up a new job, and too short a period may not give you enough stability.