An employment contract and an HR manual serve distinct purposes within an organization.
Employment Contract:
- An employment contract is a legally binding agreement between an employer and an employee that outlines the terms and conditions of employment.
- Key points that are compulsory to be included in an employment contract for a realty business in Mumbai, India, may include:
- Job title and description
- Compensation and benefits package
- Working hours and schedule
- Probationary period, if applicable
- Termination clauses
- Confidentiality and non-compete agreements
- Dispute resolution mechanisms
- Compliance with local labor laws and regulations
HR Manual:
- An HR manual, also known as an employee handbook, provides employees with information about company policies, procedures, and expectations.
- Points that may repeat in both the employment contract and HR manual include:
- Code of conduct and ethics
- Anti-discrimination and harassment policies
- Health and safety guidelines
- Leave policies (sick leave, vacation, etc.)
- Grievance procedures
- Employee benefits information
- While an employment contract is specific to each employee, the HR manual applies to all employees within the organization.
It is crucial to ensure that both the employment contract and HR manual are comprehensive, clear, and compliant with relevant labor laws and regulations to establish a transparent and harmonious work environment.