The Formation Of The Contract Of Employment
Date: March 28, 2025
Offer And Acceptance
- There must be an offer and acceptance. Employer should make a clear job offer for
which the employee should accept unconditionally.
- The Job offer must contain the terms of the contract or indicate where the terms of
contract may be found.
- Offer terms;
Position, duration, remuneration, working hours, holidays, and benefits
- Employee should communicate acceptance of the job offer either orally or in writing.
No particular form is required, the contract may be oral, or in writing.
Consideration
- Refers to something of value that is exchanged between employee and employer that
make the contract legally binding.
- The job, salary, promotions and benefits are all considered as consideration.
- Employer's offer a job and promise to pay the agreed wages in return for the
employee's promise to perform a particular task
- Consideration ensures that both parties have something to gain from the employment
contract.
Capacity
- Contractual capacity refers to the legal ability of an individual or entity to enter into a
legally binding contract.
- Contractual capacity protects the vulnerable parties.
- Protection is given to minors, women, disabled persons and ethnic minorities.
- The restriction are according to law under both common law and statute.
- E.g. there is a minimum age for employment in every country
Legality
- A contract of employment must not be tainted with illegality.
- E.g. a contract to murder people, selling and distributing controlled substances(drugs).
- If contact is illegal, courts regard contract as void and therefore unenforceable
Serious Intention To Contract
- The parties must seriously intend to contract (animus contrahendi)
- Employee must be willing to work as required by employer, while employer must be
willing to pay.
