Types of Employment Contract

The deal for the job

A contract of employment is a legal agreement that sets out the terms of a job, such as the hours and the pay. There are several kinds. A full-time contract is for a full working week and gives steady income. A part-time contract is for fewer hours and suits workers who need flexibility. A job share splits one full-time role between two people. A zero-hour contract guarantees no set hours, with work offered as needed. Each suits different needs, and this module looks at the types and the benefits of each.

Contract words

Learn these four kinds before you match any of them, and remember each suits a different need.

Full-time against part-time

The two most common contracts suit different workers. A strong answer links each to who it fits.

How to match a contract

Do not just describe the contracts. Weigh the flexibility a contract gives against the security it offers, then match it to the need. A worker who wants a steady wage suits a full week. A worker juggling study or family suits fewer hours. Two skilled people who each want less than a full week can split one role between them. A business with unpredictable, changing demand may want workers it can call in only when needed. Fit the contract to both sides.

Match the contract to what it is

What is a zero-hour contract?

Which statement best describes a zero-hour contract?

• A contract with no guaranteed hours, where work is offered as needed.
• A contract for a guaranteed full working week.
• A role split equally between two workers.
• A contract where the worker is never paid.

Benefits of part-time work

Select the TWO benefits a part-time contract can offer.

• It leaves free time for study or family
• It can be cheaper and more flexible for the business
• It always pays the largest possible wage
• It means the worker never has to work

Compare the hours

A full-time contract is for 40 hours a week. A part-time worker is contracted for 15 hours a week. Subtract to find how many fewer hours the part-time worker does. What is the answer?

Order agreeing a contract

Put the steps of agreeing an employment contract in order, earliest first.

• The business offers the person the job
• The contract sets out the hours, pay and terms
• Both sides agree and sign the contract
• The worker starts the job on those terms

Complete the facts

A contract for a full working week with a steady income is _____. A contract for fewer hours, offering flexibility, is _____. When two workers split one full role between them it is a job _____. A contract with no guaranteed hours is a _____ contract.

Match the need to the contract

Spot the true contract facts

Tap the TWO statements that are true about employment contracts.

• A full-time contract gives a steady income
• A zero-hour contract guarantees no set hours
• A part-time contract always pays the most
• Zero-hour workers are never paid for work done

Choose the contract

Read each case and choose the best contract, with a reason.

• A worker with a family wants a job but can only work three mornings a week around childcare. Which contract fits best?
• A seaside cafe is packed on sunny weekends but very quiet otherwise, and wants to call in extra staff only when busy. Which contract fits best?
• Two experienced managers each want to work half a week and together cover one senior role. Which contract fits best?

Explain employment contracts

Explain the main types of employment contract and how a business chooses the right one for a job and a worker.

• Explain what a full-time and a part-time contract are
• Explain what a job share is and who it suits
• Explain what a zero-hour contract is and when a business might use it
• Explain one benefit and one drawback of a zero-hour contract
• Finish with a judgement on how a business should choose between them