An employment contract is different from a regular job offer letter in a lot of aspects. It is much more specific and covers a whole range of points to add significant value to the employee-employer relationship.
The core idea of an employment contract is to include a legally binding policy document in the hiring process of a new professional. It helps your organization master the skills regarding the compliance-oriented recruitment process for employees.
When you proceed with the employment contract terms for employees, it is easier to promote an essential HR operations process. It helps you offer a streamlined HR management process for the whole recruitment phase and domain.
Bahrain-based businesses follow an exclusive employment contract model. This article helps you uncover the core details regarding an employment contract in Bahrain. It includes the different components, terms & conditions, and pointers regarding the functions of a dedicated employment contract.
Hop in to learn more about the essential role of digital HR software in collaborating with the development of employment contract in a company. It also lays out the significance of the category in promoting a fruitful HR domain in your organization.
What is Employment Contract in Bahrain?
What is a job contract or employment contract? An employment contract, also referred to as a contract of employment, is a credible document in written or other form that mentions the various terms of employment for a new resource. The employer or the organization offers employment contracts to its employees at the time of recruitment.
Employment contracts are usually in written format. However, other versions of the specific document are also possible. We will discuss those types of contracts in the upcoming sections. It includes numerous elements or components that outline the quality of a foolproof employment contract.
Like any contract that benefits both parties, an employment contract works essentially well for employers and employees. It is not mandatory in an organization’s context. However, if your company’s premise is the launch of a perfect recruitment operations management system, including an employee contract works exceptionally well.
A contract employee agreement possesses the power to transform employee engagement and performance management factors in the organization. You can plan to cover various terms in the contract depending on your industry, working niche, existing market conditions, growth potential, and changing employment terms.
Employment contracts are agreements between employers and employees. You can legally endorse the document with the assistance of the signature and seal of the involved parties. Most successful businesses run an employment contract function as part of their recruitment policies.
Terms & Conditions of Employment Contract in Bahrain
When you deploy an employment contract in the Bahrain region’s business model, it includes certain terms and conditions. These may vary by the organization and according to the industry. However, there are specific employment contract terms that are popularly adopted by almost all the bodies.
Listed below are the top terms and conditions that get placement in an organization’s HR employment contract:
- It should provide details regarding the complete employment norms and steps in the organization.
- All rights and duties of the parties are part of the contract. It covers various roles and responsibilities of the same.
- Either the employer or the employee can initiate the conversation regarding the contract. The final decision lies with the employer regarding its process and progress.
- At all points of the employment contract discussion, ensuring confidentiality is a must.
- As data is part of the employment contract terms, privacy and security are key parameters in the entire documentation.
- It also helps you promote a safe pathway to creating a harmonious work environment that gets upvotes from your staff members.
- An employment contract offers your human capital resources a better chance at reviving their core recruitment expectations in alignment with the company process.
- Apart from your fresh recruits, the concept of employment contract works well with your contractual partners, third-party vendors, and similar resources.
- An employment contract should follow the compliance terms and legal authority requirements of an organization’s performance management system.
Significance of Employment Contract in Bahrain
The significance and beneficial advantages of a Bahrain-based company’s employment contract are several. Citations show that more than 80% of the workforce enjoys the luxury of a permanent contract. These can be enumerated as follows:
Job profile Clarification – The employment contract helps you connect well with all the duties in association with an employee’s profile management in the organization.
Rights and Responsibilities – Your employment contract showcases the list of responsibilities of a resource in charge of a particular profile or task.
Wage Structure Determination – The core determination of salary and compensation benefits of an employee is proudly under display inside an employment contract.
Information Protection – You can ensure the confidentiality of the company processes and profile workflows with the support of a legal contract draft.
Work Experience Measurement – Your human resources segment needs a proper portrayal of the work experience principles. The contract helps you manage exclusive work experience objectives.
Strategic Business Model – The provision of a strategic business model may be useful for employees following a document-oriented legal contract.
Efficient Hiring and Recruitment – The presence of a full contract draft helps the employees undergo essential hiring principles. The company will have a smoother recruitment process as well.
Future Reference Document – Document management in a company workflow is essential for future reference templates. An employment contract serves one such purpose.
Elements of An Employment Contract in Bahrain
When you present an employment contract to your employees for their approval, it should contain certain clarifications and definitive information. Various components of the contract are responsible for promoting this exclusive employee management tool in a firm.
You can check out the major elements of an employment agreement contract below:
Employee-employer Terms
All aspects of the organization’s relationship terms that represent the employee-employer conditions should be part of the contract. In an employment contract, you can add the factors that connect employees with their employers, paving the way for mutual benefits and success.
Job Description
The core addition of a job description is significant for boosting employee management in a firm. If the assigned job roles are present in the description, it will help all elements of the organization effectively.
Salary and Benefits Structure
You can add details of the salary and compensation model regarding each employee in the contract. It provides a possible option for employees to double-check their monetary benefits before processing with the respective job roles.
Employment Duration, if any
Some profiles mention a specific time for which the job role is available and active. You can add the duration of the employment to the contract to get the optimum status quo regarding the profession.
Company Policies and Bylaws
If your organization observes a set of bylaws and regulatory policies, it is better to include those details in the employment contract. You should follow a confidential route for implementing the solution in the contract to protect the company from competitors and market liabilities.
Organizational Clauses
Different organizational clauses that are specific to your business model should be a part of the employment contract. It helps the employees navigate through the core business solutions and company strategies with ease.
Privacy and Security
All factors related to the safety and security of your organization’s workflow should be present in a company document showing the employment contract. It helps your employees approach the business with confidence, courage, and a positive mindset.
Conflict and Resolutions
You can understand the various conflicts and their potential resolving features by stating those points clearly in a document. An employment contract helps your resources understand the various conditions attached to modules like employee resignation, termination, HR terms, etc.
Special Terms
You have to understand the crucial factors that are specific to the organization in question while starting a job agreement with them. An employment contract details the special terms that are part of the individual employee’s standing within the organization.
Business and Professional Conditions
You can create an exclusive document that conveys all the business terms and professional conditions in the organization. Employment contracts should include this to get top-notch access to the business factors of the firm.
Miscellaneous Factors
Several supportive solutions play a part in the development of an essential employment contract that works well with the resource terms and hiring conditions in an organization. You can add them according to your feasibility and choice under the employment contract of the organization.
Points to Note Regarding Employment Contract in Bahrain
- The various points that you should note regarding the implementation of an engaging employment contract in your organization are as follows:
- Various types of employment contracts are available in the recruitment platform of the organization. You should select the prospective one that matches your organization. Types of contracts include written, oral, implied, and at-will solutions.
- If you can provide a written contract for your employee’s jobs, it will offer them better stability and security. It is useful as employment rates in Bahrain are growing at a steady rate (0.32%).
- Various types of contract terms are possible according to the organization’s structure and workflow.
- Though honesty and transparency are part of the employment contract negotiations, they should also portray a sensible option to promote flexibility in your hiring process.
- Contract negotiation terms depend on various factors like employee union conditions, public platform reviews, legal requirements, etc.
- You can contractually bind your employees to avoid disclosure of potential company information in the market. It helps you stay successful among your competitors.
- Paperless contracts are even better to understand and implement in the organization. Digital solutions can help you frame an exclusive employment contract with optimum terms and conditions.
- You can provide new employment contracts when your employees change positions or profiles within the organization. It helps you and them to stay up-to-date on several terms.
What is Artify 360 HR Software’s Role in Fulfilling Employment Contract in Bahrain Functions?
When you choose a digital or automated platform to frame the necessary employment contracts, HR software is the ideal solution. If you can enable cloud HR software to promote an employment contract, there’s the added advantage of existing hiring and recruitment solutions.
We are talking about the Artify 360 HR Software service. It is an authentic HRMS platform that helps you empower the recruitment process with employment contracts. The provision of contracts in these HR software systems can be feasibly managed with the aid of a dedicated platform.
You can use Artify to manage any Bahrain-based company’s hiring process, irrespective of the industry. It is a proven HR payroll software that helps you fulfill all your employment contract needs.
For free demo sessions on how Artify can assist you with the same, reach out to our expert team. These in-house professionals can share all details with you related to the subject.
