The paper 'Element of a Valid Contract Employment Contract" is an outstanding example of business coursework. A human effort is a vital tool in any organization in order to achieve an organization’ s goals and objectives. The success of any organization depends on how best the workers correlate between themselves and also with their employers. The strength of an employer-employee relationship is determined by how both parties obey the agreed employment contract (Brodie 2000, pp 54-56). Upholding and maintaining a dominant bond between the employer and the worker is brought by carefully setting up a detailed employment contract.
An employment contract is a legal document that shows the terms and conditions an employer has agreed with his employee, which, helps to protect the interests of both parties. To maximize the business profits, the employer will be interested to minimize costs of production in which labor is present. This means paying the employee as little as he can take. However, the employee also desires to gain much so that he sustains his personal needs. This calls for a consensus of both parties evident in the employment contract.
Trade unions have been established to protect the employees’ rights, which may be abused by many wealthy employers. They help to advocate for the right hours of employment, layoff procedures, and representation by a union official. Similarly, the employer has the right to have an honest employee, someone with a good record of hard work in the organization, and he is productive. Failure to which, he is entitled to terminate the employment contract or even sue for any damages caused by the employee. The element of a Valid Contract Employment Contract There are six main essential, elements found in a valid employment contract.
They include: offer, acceptance, the intention of the parties to create legal intentions, the legal capacity to enter into a contract, valuable consideration, and also the activity under which the contract is formed should be legal. The employer makes an offer in which he must be clear and properly communicate to the employee. The offer can be made to an individual, a group or it can be universal. It can be made through writing or oral means.
It should be distinguished from an invitation to treat. While an offer is an expression of the employer’ s willingness to bind to the contract, an invitation to treat is an expression to show interest to enter into negotiations with the employee but the employer does not intend to form a binding contract by then. When the employee is comfortable with the offer, he makes acceptance and notifies the employer. It can be communicated through oral, writing, and also postal means. Acceptance can be express, implied, or conditional.
When it is express, the employee directly shows his interest to the employer and he consents to the offer. The acceptance becomes implied when the employee’ s actions indicate acceptance without any need for proof, while, in conditional acceptance, the employee requires the employer to fulfill certain conditions so that he accepts the offer. For the contract to be enforceable by law, the parties should have the intention to create a legal relationship.
List of References
Brodie, D, W 2000, Individual Employment Disputes: Definite and Indefinite Term Contracts, Quorum Books, New York.
Brousseau, E & Glachant, J 2002, the Economics of Contracts: Theories and Applications, Cambridge University Press, Cambridge, England.
Buckley, P, J & Michie, J 1996, Firms, Organizations and Contracts: A Reader in Industrial Organization, Oxford University Press, Oxford.
Schomann, k, Rogowski, R & Kruppe, T 1998, Labor Market Efficiency in the European Union: Employment Protection and Fixed-Term Contracts, Routledge, New York.
Kreithner, R 2007, Calculating Promises: The Emergence of Modern American Contract Doctrine, Stanford University Press, Stanford, CA.
Cromton, R 1999, Restructuring Gender Relations and Employment: The Decline of the Male Breadwinner, Oxford University Press, New York.
Gordley, J 2001, The Enforceability of Promises in European Contract Law, Cambridge University Press, Cambridge.
Hill, G, J, Ronald, W, M & Thomas, R, S 2011, Comparing CEO Employment Contract Provisions: Differences between Australia and the United States, Vanderbilt Law Review, Vol. 64 No. 4 p 23.
Kreithner, R, 2007 Psychological Contracts and Employment Equity Practices: a Comparative Study, Management Dynamics, Vol. 17, No. 6, pp. 12-45.
Munson, M, M 1997, A Straitjacket for Employment At-will: Recognizing Breach of Implied Contract Actions for Wrongful Demotion: Vanderbilt Law Review, Vol. 50, No. 5, p 76.
Rubery, J, Smith M, Fagan, C & Grimshaw D, 1998, Women and European Employment, Routledge, New York.
Rubery, J, Smith, M & Fagan, C 1999, Women's Employment in Europe: Trends and Prospects, Routledge, London.
Sabirau-perez, M 2000, Changes of the Law Applicable to an International Contract of Employment, International Labor Review, Vol. 139, No. 2, pp 56-67.
Slomkski, A, J 1996, Employment Contracts: Look Carefully before You Leap, Medical Economics, Vol.73, No. 12, pp 30-35.
Steinfeld, J, R 1991, The Invention of Free Labor: The Employment Relation in English and American Law and Culture, 1350-1870, University of North Carolina Press, Chapel Hill, NC.