What Is the Purpose of a Contract of Employment?

Answer

The purpose of a written employment contract is to specify rights, obligations and conditions of employment. All conditions included in a contract should clearly state the intentions and obligations of each party. Provisions should be written in plain English, using terms which relate to the workplace and are easily understood.
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1 Additional Answer
The purpose of a contract of employment is to draw up rules and regulations concerning the rights and limits between an employer and employee. It generally provides for the relationship between the two parties. Any breach of contract by any side is not acceptable by law.
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