Small Business Law > Registrations as a New Employer > Formalising the Employment Relationship with Employees
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Formalising the Employment Relationship with Employees

When someone is newly employed, the employer must give the employee a letter of appointment and a contract of employment. This contract describes the terms and conditions of the employment relationship and should be agreed on by the employee before he or she signs it.

Conditions of employment are governed by either a sectoral or wage determination (including a Bargaining Council Agreement), the Basic Conditions of Employment Act and the Labour Relations Act. The conditions of employment should include the organisation’s grievance and disciplinary procedures. The employer should also give the new employee a job description. By giving the employee a job description, the employee knows what is expected of her or him and the employer cannot later hold the employee responsible where the employee acted in terms of her or his duties.
(See: model contract of employment; guidelines to drawing up an employment contract; Drawing up a job description; Laws about terms and conditions of employment; Solving disputes under the Labour Relations Act)