Employment Contract Essentials and Legal Requirements

Understanding the Employment Contract

The contract is an agreement between the employer and the employee whereby the employee voluntarily undertakes to provide these services and submit to the power of organization and direction of the employer, in return for remuneration. It must be signed by the employee (or their representative if they are a minor) and the employer or the legal representative of the company.

Legal Requirements for Signing a Contract

To be hardworking and able to sign an employment contract, individuals must be natural persons and meet one of the following requirements:

• Be an adult.
• Be 16 or 17 years old and have authorization from a parent.
• Be emancipated. There are three cases that entitle emancipation:
  1. Legal authorization.
  2. Authorization from parents or guardians once of adult age.
  3. Marriage by obtaining a judge's approval.

Exceptions for Minors Under 16

Exceptionally, work may be allowed for those under 16 years of age in public performances, provided that:

• They have a permit from the Labor Authority and their parents.
• The work is not a danger to their physical health or their professional and personal development.

Types of Employers

An employment contract may be entered into by a trader who is:

• A legal entity (partnership, corporation).
• An individual or autonomous worker, who is an adult or emancipated.

Form and Validity of the Contract

The form of the contract may be written or verbal. Currently, it is required that all employment contracts are concluded in writing, except for:

• The ordinary permanent contract.
• An eventual contract due to circumstances of production, full-time, whose duration is less than four weeks.

The worker may require that the employer provide a written contract at any time.

Essential Content of an Employment Contract

The contract must include the following essential information:

• The parties entering into the contract: The identity of the employer and the worker.
• Working time: The start date of employment and duration of the contract, as well as the duration and distribution of normal working hours.
• The place of work: The head office of the company and the workplace where employees work regularly.
• Category or professional group: The specific jobs to be filled.
• Worker wages: The amount of base salary and wage supplements.
• Holidays: A minimum duration of 30 days.
• Notice periods: The minimum notice periods to be observed by both the worker and the employer to terminate the contract.

Core Elements and Employer Obligations

The elements of the employment contract include:

• The purpose: The work itself, provided under certain conditions.
• Consent: The willingness to work freely for pay.
• Causes: Providing a job in exchange for remuneration.

Employer Obligations Regarding Validity

The employer has the following obligations regarding the contract:

• Provide a copy of the contract to the worker.
• Give a copy to the representatives of workers in the company.
• Communicate and deliver to the Employment Office, within 10 working days of concluding the contract, a copy of the signed contract and the copy for the representatives of the workers.