Employment contracts can take several forms with differing advantages and disadvantages for employers and employees. Permanent full-time contracts offer job security but greater liability, while zero-hours contracts provide flexibility but no guaranteed hours or benefits. Part-time and temporary fixed-term contracts balance aspects of both. Overall, contracts provide structure but lack of job security, while flexibility allows growth but with difficult tax and brand-building implications for workers.

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COMPARE AND CONTRAST DIFFERENT TYPES OF EMPLOYMENT CONTRACTS,
ADVANTAGES, AND DISADVANTAGES.

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Compare and contrast different types of Employment Contracts, Advantages, and
Disadvantages.
Introduction
Employment contracts are agreements that have been signed between an employee and an
employer or between an employee and a labor union. The agreement is used to define the
responsibilities and the rights of both the employer and the employee or between the worker and
the company. Employment contracts can also be agreements that are used to cover their working
relationship with the company and their employees whereby it allows the company and the
employee to understand their terms of employment and their obligations in the company.
Employment contracts can consist of salary or wages, a schedule of working days of the
employee and how that the employee is required to work, duration of the employment where an
employee is expected to work for a specified period after which their contract is terminated
(Hook & Jenkinson, 2019). A contract can also constitute the general responsibilities of
employees and the duties that are expected of the employee while they're employed.
confidentiality is also included in the contractor where an employee is expected to sign a
separate non-disclosure agreement that protects the confidentiality of the employer or company
that has employed them. an employment contract also as a communications clause where the
employees who handle social media all the emails of the company are supposed to state the
returns of the company's ownership and control of our communications. The benefits that the
employees should gain are also stipulated in the contract and they are inclusive of the Health
Insurance our time for vacations and other perks that come along with their employment
benefits. contracts also have future competition that includes a non-compete agreement or non-
compete clause which states that in case an employee decides to leave the company the

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employee will not seek a job from a company that competes with the current company. the non-
compete clause can be included in the employment contract or signed a different non-compete
clause.
A written employment contract is a contract that is used to define the roles of the
employees, their responsibilities, and the benefits that may arise for the benefit of the employees.
in the written contract breaking them might lead to legal consequences. in the cases where
employees do not understand their contract details, they should get an attorney who can clarify
the details of the agreement. There are also implied employment contracts that are inferred from
comments made during an interview or job promotion or something that was said during a
training exercise. Examples of implied employment contracts can include the contract that has
been conferred from a statement, past employment history of the employer, or that has been
inferred from actions (Kwiatkowski and Włodarczyk, 2017). Implied employment contracts can
be done during an interview where the interviewee may be told about the position of their job
and if the job is permanent or will last for a specified time. unless the employee is fired for a
good reason. There are also Union labor agreements where the members of the unions are
covered by employment contracts that have benefits wages and scheduling issue stipulations and
the working conditions of the employees. These types of contracts are responsible for outlining
the processes and are also responsible for addressing the grievances of their workers in case of
the employer violating the stipulations of the contracts.
This paper will discuss the comparisons and contrasts between different types of
contracts of employment (Permanent full-time contracts, Permanent part-time contracts, ‘Zero-
hours’ casual contracts, ‘Fixed-term’ temporary contracts) and analyze the advantages and
disadvantages of the contracts.

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Differences between different types of Employment Contracts
Permanent full-time contracts
Permanent contracts are contracts that do not have an expiry date and those that remain
valid until the time when the employer or employee decides to terminate the job
relationship. Other terms may be used to describe permanent contract search Earth indefinite
contracts since they can last a lifetime. In some cases, permanent contracts are offered to the
employees who are described as permanent staff for a specified period. the permanent contract
can be for a specified number of years after which they can be renewed but the contract cannot
be terminated until those years are over or unless the employer or the employee decides to
terminate the contract due to valid reasons. The main use of permanent contracts that are
renewable is to ensure that the employee recruits top Talent and offers their employer the best
quality of the job. Permanent contracts have job security, benefits, and career development
opportunities. Permanent contracts are responsible for offering stability to the employees and are
also responsible for easing their minds and thus allowing them to actively invest the emotions to
the business.
The employee investment in a business causes the business to improve and also boosts
the engagement of the employees and that's causing the business to be successful. permanent
contracts are also responsible for offering benefits to their employees. Some of the benefits that
employees get from permanent contracts include health insurance, paid vacations, or time off the
job, and also offers the employees opportunities to exercise their talents. it also offers their
employees satisfaction and effectiveness that is needed in a successful business enterprise.
Permanent contracts are responsible for offering career development opportunities where the

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employees are shown that it is not just a job but a career (Berton et al., 2011). some of the
business Enterprises use too much money in the Recruitment processes and most cases, the
employees do not stay in the job for long. It thus becomes necessary for the companies to nurture
the employees that there's already offered the contract so that they can stick around and ensure
that the company does not spend too much money on recruiting other employees. A permanent
contract ensures that the employees who have top talent are maintained in the organization and at
the same time it helps the employees to develop other skills that they did not know that they have
and those that help in the building of their careers.
The permanent contract also has a greater liability and more administrative work. In a
permanent contract, the employees are provided with clarity of the terms of the agreement but
they can be liable for great damages in the case that the contract is violated. employees need to
ensure that they do not agree to the terms that they feel they cannot me since violating the terms
of the contract can have large damages on their side. Permanent contracts are responsible for
covering the employees with benefits that include retirement saving plan health insurance and
savings for time off. The problem with the benefits is that they are offered by the employer. in
the case where there are disagreements between the employee and the employer, the employee
can find themselves not having the benefits.
Permanent part-time contracts
Part-time contracts offer their employees less working time than permanent employees.
Some of the employees who are employed based on part-time contract enjoy the benefits of a
permanent contract for a stipulated time. in the part-time contracts, the number of hours that an
employee is required to work should be indicated but can also allow their employees to work

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overtime if and when desired (Engellandt and Riphahn, 2015). The employees who prefer part-
time contracts enjoy benefits that include flexibility in their schedules and allowing the
employees to fit their work around other personal communities and also offers the employees
opportunities to try new roles without having to compromise their working hours.
‘Zero-hours’ casual contracts
A Zero-hours contract is a contract that offers a representation of an agreement to employ
a person as and when required. in the zero-hours contract, there are no commitments to the
number of hours that an employee is required to work. in this type of contract, the employees are
paid according to the number of hours that they have worked for. There is no minimum number
of working hours for their employees. zero-hours contracts can also be described using casual
work as the terminology in the Industries that are highly seasonal and that offer employment
seasonally. The term is used to describe the Industries that have jobs whose demand fluctuates
from day to day or from week to week and whose work is unpredictable. Some of the Industries
that offer such jobs include the tourism industry, the agricultural industry Healthcare industry,
and the retail industry (Cappellari, Dell’Aringa, and Leonardi, 2012). A good example of a
company that offers zero-hours contracts is Amazon. Amazon is a company that offers office
retail services on the online platform. the employees of Amazon are encouraged to sign the zero-
hours contract since there is no stipulated amount of hours that they are required to work. Most
of the workers of the Amazon company are paid on commission. this encourages the employees
to work more since the more they work the more they pay and thus the company benefits highly
from these kinds of contracts making it the most successful online retail company in the world.

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In recent times there have been controversies and businesses have increased the use of
zero-hours contracts. There are claims that zero-hours contracts have negative aspects that
should not be found in any form of contracts. some of the arguments regarding the use of zero-
hours contracts have highly criticized they use stating that the contracts if used properly can be
beneficial to the organizations that use them or to the individuals that use them in most cases the
use of zero-hours contracts are only used by employers who think that it suits them and not their
employees. there is a need to improve the practice of zero-hours contracts so that it can be
beneficial to both the employer and the employee. Employees who work in companies that offer
zero-hours contracts should be advised on the importance of signing a written copy of the terms
and conditions, conduct a review annually, and explanations of how the contract work be offered
to the employees.
‘Fixed-term’ temporary contracts
Fixed-term contracts are contracts that employees commit themselves to based on
working under the terms of a fixed-term contract for a limited period. there may be
predetermination of the. that the employee is required to work full stop in some cases the
employees are only required to work until the contract or the job that is being done is complete
or when a specific event occurs. fixed-term contracts can also be for the employees and
employers who have engaged themselves permanently where there is no specific duration of time
when the contract ends (Dawson, Veliziotis, and Hopkins, 2017). Fixed-term contracts are
responsible for offering the employees The opportunity to limit their employees or adjust the
numbers of the employees who are working at the organization based on the fluctuating business
needs. The employees who have been offered the fixed-term contract have entitlements that are
equal to those of the employees who are on eminent contracts. This entitlement has been

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stipulated in the prevention of less favorable treatment regulations in 2002.in most cases, the
fixed-term contracts include a notice of termination clause that allows either party to end the
contract without breaching the contract.
Similarities between different type of Employment Contracts
In all the Employment Contracts, they offer opportunities for employment at all times,
and that the employees are offered choices and options to get a suitable job for themselves. For
the employees who are looking for specific types of jobs, they have the freedom to choose
freelancing which gives them the charm to develop the skills that they have. the employees who
have multiple skills can be offered a part-time employment contract where they have time to
practice other skills that they may have and develop them without having to affect the working
hours of their employment (Guest et al., 2010). In all the employment contracts, employees can
work on a contract based employment where they do not have to face the competition that is
present in most of the jobs. In most of the full-time employment, the employees are always faced
with competition and thus employment contracts cut off this kind of competition.
Advantages of Employment Contracts
Work is plentiful
In most employment contracts many jobs are available. employment contracts are
responsible for. Employment contracts are responsible for offering their employees different
kinds of jobs and that there are always jobs available for the employees meaning that the
employees never find themselves in a fix. The contracts of employment offer employees the

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freedom to opt for another job in case of being laid off in their current jobs due to a variety of
reasons.
Less competition
Employment contracts offer an advantage to the employees in that they employees are
offered with opportunities to prove their words and their skills and that the employers can
determine the employees who are worse keeping and those who have to be laid off. employment
contracts offer their employers an opportunity to find out which of their employees is good and
also offers them an opportunity to know how well an employee is. as such the employees
become confident and can know more about themselves and know which jobs they can perform
better.
Higher gross salary
According to some of the studies that have been done on employment contracts it has
been found that there are more opportunities for the employees where they can get paid well but
not in all the kinds of employment full stop contract employment present opportunities for the
employees where they can earn more than other types of employment in the cases of part-time
employment employees are offered with many job opportunities where they can practice
different skills without affecting the other job that they have been employed to do full stop in the
cases of freelancing the employees can get many jobs and thus increasing their income since they
do not have to depend on a single salary (De Cuyper, and Isaksson, 2017). employment contracts
offer their employees the freedom that enables them to maintain their options of earning and also
enables the employees to maintain their app. The contracted employment allows their employees

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to do the type of job that they want and at the same time create benefits out of their jobs that they
are doing.
Flexibility
Employment contracts offer flexibility for employees in that the employees can choose
their working hours. The importance of having job flexibility is that the employees can make the
necessary amendments of what is being offered by the job opportunity. the job flexibility and
show us that the employees can make choices of how they would want to work on a particular
project. the flexibility also ensures that the employees can choose their working hours and thus
most of the work is delivered on time.
Continuous growth
Employment contracts offer their employees continuous growth opportunities since their
employees are not stuck on a single type of job. since employment contracts offer their
employees various flexibility options the employees are given great opportunities to grow.
Employment contracts offer their employees opportunities to practice the skills that they would
like to develop and also offers them the strength that they would like to demonstrate a particular
skill. employees who are in-contract employment are offered the opportunity to learn time
management and create a balance between their work-life and their social life
Disadvantages of Employment Contracts
Job security

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Employment contracts do not offer employees job security. There are many opportunities
in employment contracts but there is no security of the current employment for the employees.
the organizations that offer employment contracts cause stress for their employees since they do
not offer job security. even though the employees have many options of the jobs that they can
pursue, it might be difficult for them to identify other opportunities since they are busy working
on their current jobs.
Tax information
The employees who are in the contract jobs sectors find it difficult to fulfill their legal
obligations of keeping track of their taxes. due to the numerous types of jobs that the employees
are involved in it becomes difficult for them to fulfill their tax obligations. It is a tedious job for
their employees to ensure that every job that they participate in has been legally approved
through fulfilling their specific tax obligations.
Creating a brand
Employees can only benefit from contract employment if they can create a brand for
themselves. the employees who are unable to create a brand for themselves, the day becomes
difficult for them to get more jobs in the contract employment sector. it just becomes difficult for
their employees since most of them have to work more and be paid less since they have not
created a brand for themselves. It takes a lot of time for most of the employees who are in-
contract employment to create a brand for themselves. employees who are in consulting and
freelancing may find it difficult to create a brand for themselves while others find themselves
working more and getting paid less for their services in an attempt to create a brand for
themselves.

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Reference list
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References
Berton, F., Devicienti, F., and Pacelli, L., 2011. Are temporary jobs a port of entry into
permanent employment?. International journal of manpower.
Cappellari, L., Dell’Aringa, C., and Leonardi, M., 2012. Temporary employment, job flows, and
productivity: A tale of two reforms. The Economic Journal, 122(562), pp.F188-F215.
Hook, C., and Jenkinson, A., 2019. Introducing Human Resource Management. 8th Edition.
Dawson, C., Veliziotis, M., and Hopkins, B., 2017. Temporary employment, job satisfaction, and
subjective well-being. Economic and Industrial Democracy, 38(1), pp.69-98.
De Cuyper, N., and Isaksson, K., 2017. Employment contracts and well-being among European
workers. Routledge.
Engelhardt, A., and Riphahn, R.T., 2015. Temporary contracts and employee effort. Labor
economics, 12(3), pp.281-299.
Guest, D.E., Isaksson, K., and De Witte, H. eds., 2010. Employment contracts, psychological
contracts, and employee well-being: An international study. Oxford University Press.
Kwiatkowski, E., and Włodarczyk, P., 2017. Types of employment contracts and elasticity of
employment in the European Union new member states in 2000–2014. Acta Universitatis
Lodziensis. Folia Oeconomica, 2(328).

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