We are not going to delve too deeply today into the number of times we have gone into a company and discovered that essential paperwork such as contracts of employment have not been issued.
However, we are often asked if it matters if the employee has not signed the contract.
As you would expect, the answer is that it depends.
However, in most instances, it is still legally binding.
If the employee starts work and takes advantage of the benefits outlined in the contract, there is an implied acceptance of the contract, even if they haven’t actually signed it.
It can be a little trickier if you promote a member of staff onto the management team, and therefore issue a new contract. However, here too, if the employee enjoys enhanced benefits and complies with the conditions of the contract, it is deemed as accepting the contract.
There have been several cases where employees have left and been caught out by restrictive covenants – thinking they don’t apply because they have not signed a contract. However, courts have ruled that the contracts have been accepted.
Having said all of this, we would advise always ensuring all of your people sign their contracts. And remember this applies to revised contracts issued if terms of employment change for existing employees.
If you need help or further guidance about contracts of employment, please contact us on 01256 328 428.