The contract of employment has emerged as a new legal theory of work relationships after people rejected the status of serfdom owing to the rapidly changing social and industrial conditions. The law of contract is best suited to the nature of employment relationship. In an employment relationship, we find the basic elements of a legally enforceable contract. For instance, there is an offer that is accepted, there is a consideration and the underlying purpose and intention of an employment relationship is to create legal rights and obligations. The offer may be from either the employer or employee. The consideration may either be the financial reward provided by the employer or the work / willingness to work provided by the employee. The terms of a contract of employment may be expressed or implied. Though a contract of employment need not be in writing, it would be of great value if the terms of the contract are reduced to writing. Evidence in writing would avert disputes in the employment contract and in the event of disputes it would be easier to obtain evidence. In some cases, certain terms may become implied into an employment contract but the implied terms must be founded on presumed intention and upon reason. In case of breach of employment, the remedy will lie in the law of contract and also in torts and criminal law. Presently, a worker can claim remedies in case of any disadvantage in pay or other contractual term under any of the following laws:
Equal Pay Act 1970 with amendments in 2003
Article 141 of the Treaty of Rome or Equal pay directive
Employment Rights Act 1996 for an unlawful deduction of wages
