New Employment Contract For Existing Employees Template for England and Wales

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Key Requirements PROMPT example:

New Employment Contract For Existing Employees

I need a New Employment Contract For Existing Employees to update terms for our UK software development team of 15 people, incorporating new hybrid working arrangements and updated bonus structures, to be implemented from March 2025.

Document background
The New Employment Contract For Existing Employees is essential when organizations need to update or standardize employment terms with their current workforce. This document, governed by English and Welsh law, is particularly relevant during corporate restructuring, policy updates, or when modernizing employment terms. It maintains employment continuity while incorporating current legislative requirements, updated company policies, and contemporary working practices. The contract includes essential elements such as revised terms of employment, remuneration, benefits, working hours, and leave entitlements, while preserving accrued rights and existing service-related benefits.
Suggested Sections

1. Parties: Identification of employer and employee with full legal names

2. Background: Context of employment relationship and reason for new contract

3. Definitions: Key terms used throughout the agreement

4. Terms of Employment: Job title, duties, reporting lines

5. Remuneration: Salary, benefits, review process

6. Working Hours: Standard hours, overtime, flexibility

7. Holiday Entitlement: Annual leave, public holidays

8. Sickness and Other Leave: Sick pay, family-related leave, other absences

9. Pension: Pension scheme details and contributions

10. Confidentiality: Protection of company information and trade secrets

11. Data Protection: Processing of employee personal data and privacy rights

12. Termination: Notice periods, grounds for termination

Optional Sections

1. Commission Structure: Details of performance-based compensation for sales or similar roles

2. International Travel: Travel requirements, compensation and arrangements for roles requiring regular travel

3. Remote Working: Home working arrangements, conditions and requirements

4. Post-termination Restrictions: Non-compete, non-solicitation and other post-employment restrictions

5. Intellectual Property: Ownership and protection of IP created during employment

Suggested Schedules

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

2. Schedule 2 - Benefits Package: Comprehensive details of all benefits and eligibility criteria

3. Schedule 3 - Company Policies: List of key company policies incorporated into the contract

4. Schedule 4 - Bonus Scheme: Details of any applicable bonus or incentive schemes

5. Appendix A - Restrictive Covenants: Detailed terms of post-employment restrictions and confidentiality obligations

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 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: Primary legislation covering basic employment rights, including requirements for written statements of employment particulars, unfair dismissal provisions, and statutory notice periods

Equality Act 2010: Comprehensive anti-discrimination legislation covering protected characteristics, equal pay provisions, and requirements for reasonable accommodations in the workplace

Working Time Regulations 1998: Governs working hours, rest breaks, annual leave entitlement, and restrictions on night work in accordance with EU Working Time Directive

National Minimum Wage Act 1998: Sets out minimum wage requirements and payment calculations for different age groups and categories of workers

Data Protection Act 2018 and UK GDPR: Legislation governing the processing of employee personal data, privacy rights, and data protection obligations for employers

Health and Safety at Work Act 1974: Establishes workplace safety obligations and employee protections, including employer duties to ensure safe working environment

Pensions Act 2008: Details employer obligations regarding pension schemes and auto-enrollment requirements for eligible employees

Trade Union and Labour Relations (Consolidation) Act 1992: Covers collective bargaining rights, union membership, and industrial relations framework

TUPE Regulations 2006: Transfer of Undertakings regulations protecting employees' rights when business ownership changes or service provision transfers

Part-time Workers Regulations 2000: Ensures part-time workers receive comparable treatment to full-time workers

Fixed-term Employees Regulations 2002: Protects fixed-term employees from less favorable treatment compared to permanent employees

Maternity and Parental Leave Regulations: Sets out rights and protections for employees regarding maternity, paternity, adoption, and parental leave

Agency Workers Regulations 2010: Provides rights and protections for temporary agency workers, ensuring equal treatment with permanent employees

Existing Employee Considerations: Special considerations for contract updates including maintaining existing terms, implied terms, accrued benefits, and employment continuity

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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