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New Hire Contract Template for England and Wales

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Key Requirements PROMPT example:

New Hire Contract

"I need a New Hire Contract for a senior software developer starting on 1 March 2025, including remote working provisions and intellectual property clauses specific to the tech industry, with a six-month probationary period."

What is a New Hire Contract?

The New Hire Contract is essential for establishing clear employment terms in accordance with English and Welsh law. It should be used when onboarding new employees or formalizing existing employment relationships. The contract incorporates mandatory elements required by UK employment legislation, including the Employment Rights Act 1996 and subsequent regulations. It covers fundamental aspects such as compensation, working hours, holiday entitlement, and notice periods, while also addressing modern workplace considerations like data protection and flexible working arrangements.

What sections should be included in a New Hire Contract?

1. Parties: Identifies employer and employee with full legal names and addresses

2. Background: Brief context of employment relationship and agreement purpose

3. Definitions: Key terms used throughout the agreement

4. Job Description: Role, responsibilities, and reporting structure

5. Compensation: Salary, payment frequency, and review process

6. Working Hours: Standard hours, overtime, and flexibility arrangements

7. Holiday Entitlement: Annual leave and public holiday provisions

8. Notice Period: Required notice for termination by either party

9. Sick Leave and Pay: Terms for sick leave and statutory sick pay

10. Confidentiality: Obligations regarding company and client confidential information

11. Data Protection: Employee data handling and privacy compliance terms

12. Governing Law: Specification of England and Wales as governing jurisdiction

What sections are optional to include in a New Hire Contract?

1. Probationary Period: Initial evaluation period terms and conditions (typically 3-6 months)

2. Commission Structure: Details of performance-based compensation for sales roles

3. Remote Working: Terms and conditions for remote or hybrid working arrangements

4. International Travel: Provisions for business travel and associated expenses

5. Bonus Scheme: Terms of any discretionary or contractual bonus arrangements

6. Garden Leave: Provisions for placing employee on paid leave during notice period

What schedules should be included in a New Hire Contract?

1. Schedule 1 - Detailed Job Description: Comprehensive outline of role responsibilities and requirements

2. Schedule 2 - Benefits Package: Details of all employee benefits including pension, insurance, and other perks

3. Schedule 3 - Company Policies: Reference to key company policies including IT, social media, and conduct

4. Appendix A - Confidentiality Agreement: Detailed confidentiality obligations and restrictions

5. Appendix B - Restrictive Covenants: Non-compete, non-solicitation, and other post-employment restrictions

Authors

Alex Denne

Head of Growth (Open Source Law) @ ¶¶ÒõÊÓÆµ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions






























Clauses

































Industries

Employment Rights Act 1996: Core legislation covering basic employment rights, written statements of employment terms, notice periods, and unfair dismissal provisions

Equality Act 2010: Legislation ensuring workplace equality, prohibiting discrimination, and requiring reasonable accommodations for protected characteristics

Working Time Regulations 1998: Regulations governing working hours, rest breaks, holiday entitlements, and restrictions on night work

National Minimum Wage Act 1998: Legislation establishing minimum wage requirements and payment period regulations

Data Protection Act 2018 and UK GDPR: Laws governing the handling of employee personal data, privacy requirements, and data protection rights

Health and Safety at Work Act 1974: Legislation establishing workplace safety obligations and employer responsibilities

Pensions Act 2008: Law requiring employers to automatically enroll eligible workers into a workplace pension scheme

Immigration, Asylum and Nationality Act 2006: Legislation governing right to work checks and employment of foreign nationals

Trade Union and Labour Relations (Consolidation) Act 1992: Law governing union rights, collective bargaining, and industrial relations

Statutory Sick Pay Legislation: Regulations covering employee rights to sick pay and employer obligations

Family-Related Leave Rights: Legislation covering maternity, paternity, adoption, and shared parental leave rights

Flexible Working Regulations: Laws governing employee rights to request flexible working arrangements

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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