It can be easy to overlook putting in place written contracts for your staff when you are busy or if you are only engaging workers on a casual or seasonal basis. However, it is important to get into the habit of issuing contracts of employment or worker agreements before you take people on for legal and practical reasons.
Since 6 April 2020, it has been a legal requirement for employers to provide workers (not just employees) with a written statement of their terms and conditions from the first day of their employment or engagement. There is a wider benefit to written terms than simply fulfilling this obligation though. The contract or agreement will set out the fundamentals, such as when and where the work will be performed, as well as permitting certain things which might otherwise not be possible, for example allowing the employer to suspend an employee or require them to attend an occupational health appointment. It can even protect the business after the employment terminates.
In a farming context, where working hours can be irregular and external factors such as the weather may mean duties need to change at short notice, it would be sensible to include clear terms clarifying when staff can be asked to work overtime (and how much they will be paid), how holiday requests will be dealt with and, potentially, a mobility clause so that employees can be required to work at a different location to their normal place of work.
Further, if accommodation will be provided with the employment, it is vital to include a carefully drafted service occupancy or tied accommodation clause in the contract, if not a separate service occupancy agreement.
It is important to recognise that working relationships can change over time and therefore contracts and agreements need to be kept up to date. A casual worker who regularly works 20 hours a week on the farm and has done for several years is likely, in practice, to be an employee. Initially, the written terms may define the working arrangements, however, where these develop and the contract or agreement does not keep pace, it is the reality of the relationship rather than the written terms which will hold sway.
As NFU panel member covering Northumberland, Tyne and Wear, Durham and North Riding, Jacksons Law Firm regularly advise farmers and farm businesses, and our Employment team draft and review contracts of employment, casual worker agreements and other employment documents such as staff handbooks, policies and procedures.
NFU members receive a 12.5% discount on legal fees connected to the farm business and may also be eligible for funding under the NFU contract checking service.
We also offer a free Employment Documents Audit for all businesses whereby we will review your existing contracts, policies and procedures without charge and then suggest improvements, where necessary, or recommend any additional policies and procedures which would benefit your business.
So, if you need staff contracts or it is time to review your existing workplace agreements or employment documents, please me to discuss how we can help you.
Paul Clark, Partner & Head of Employment
T: 01642 356500/0191 2322574.
