The Basic Employment Contract serves as a foundational document for establishing employer-employee relationships in Pakistan. It is designed for use when hiring new employees or formalizing existing employment arrangements, ensuring compliance with Pakistani labor laws, particularly the Industrial and Commercial Employment (Standing Orders) Ordinance 1968 and related legislation. This contract template includes essential provisions required by law while maintaining adaptability for various industries and position levels. It covers fundamental aspects such as job responsibilities, compensation, benefits, working hours, leave entitlements, and termination procedures, while allowing for customization based on specific employment circumstances. The document is structured to protect both employer and employee interests while meeting all statutory requirements under Pakistani employment law.
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1. Parties: Identification of the employer and employee with complete details
2. Background: Brief context of the employment relationship and purpose of the agreement
3. Definitions: Key terms used throughout the contract
4. Position and Duties: Job title, role description, and primary responsibilities
5. Term of Employment: Employment start date and whether fixed-term or permanent
6. Probation Period: Duration and terms of the probationary period
7. Working Hours and Location: Standard working hours, days, and primary work location
8. Compensation: Base salary, payment frequency, and method of payment
9. Leave Entitlements: Annual, sick, and other statutory leave provisions
10. Confidentiality: Protection of company confidential information
11. Termination: Grounds for termination and notice periods
12. Governing Law: Specification of Pakistani law as governing law
13. Dispute Resolution: Process for resolving employment-related disputes
1. Bonus and Commission: Details of performance-based compensation, used when role includes variable pay
2. Remote Work: Terms for working from home or remote locations, if applicable
3. Non-Competition: Restrictions on working with competitors, used for senior positions
4. Intellectual Property: IP rights and assignments, important for creative or technical roles
5. Training and Development: Professional development provisions, used when specific training is provided
6. Benefits: Additional benefits beyond statutory requirements
7. Overtime: Overtime calculation and compensation, for roles eligible for overtime
8. Transfer: Terms regarding potential location or role transfers
1. Schedule 1 - Job Description: Detailed description of role, responsibilities, and reporting relationships
2. Schedule 2 - Compensation Structure: Breakdown of salary components and benefits
3. Schedule 3 - Company Policies: Reference to key company policies applicable to the employment
4. Schedule 4 - Code of Conduct: Expected standards of professional behavior
5. Appendix A - Confidential Information: Specific details of what constitutes confidential information
6. Appendix B - Performance Metrics: Key performance indicators and evaluation criteria
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