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Elements needed for an employment contract

March 5, 2010

Parties who enter into a contract to perform labor against payment can choose different ways to define their relation. One way is to define the relationship as one between an employer and an employee, thus where parties enter into an employment contract.

By Aruba law an employment contract must have three elements. These are:                                                         

  • Labor
  • Payment
  • In service of (the employer)

If the relationship between parties contains these three elements, their relationship is governed by the local labor laws. A written contract is not required by law, nor can parties evade the applicability of the local labor laws just by giving the contract another name.

It is wise to have a written employment contract to prove what was agreed upon if necessary during court proceedings. Without a written employment contract it could be difficult to prove even the most basic elements of what was agreed upon, for example the amount of hours to be worked and the salary per month or hour. There are also many clauses that could be incorporated in an employment contract within the boundaries of the law.

For assistance in this matter contact us at www.gobiklaw.com.

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From → Labor law

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