Why sign an employment contract?
The employment contract commits both the employer and the employee to the conditions set out in each article of this official document. It is essential to draft it with great care—whether hiring a permanent or fixed-term employee. Moreover, the method of signing, and thus validating the contract, may involve selecting a saas tool for electronic signature, ensuring an authentic and secure digital identification process.
Why is drafting an employment contract necessary?
An employment contract must satisfy four conditions for validity:
Legal validity requirements
- Both parties sign voluntarily and freely.
- The signatories must have the legal capacity to contract.
- The content must be lawful and not infringe on public morals or order.
- The terms must be clearly defined, specifying the service provided in exchange for remuneration.
Drafting a contract is mandatory for fixed-term, part-time, replacement, and seasonal contracts, as well as for internships or apprenticeships. Otherwise, the contract is automatically deemed a permanent one, exposing the employer to potential sanctions. While a permanent contract can be validated verbally, it is strongly recommended to have a written document to clearly define each party’s obligations and avoid future disputes.
What must be included in an employment contract?
It is important to distinguish between permanent (CDI) and fixed-term (CDD) contracts.
Common mandatory information for all contracts
The employer must include:
- The employee’s personal details (name, civil status, social security number, address).
- The employer’s address and identification numbers (SIRET, SIREN, APE codes).
- The applicable collective agreement.
- The name and address of the supplementary pension fund and any related insurance fund.
Additionally, the contract should detail the job title, classification, job responsibilities, working hours, trial period, and salary.
Mandatory clauses for permanent contracts (CDI)
A permanent contract should clearly state, if applicable:
- That it is a “contrat à durée indéterminée” (permanent contract).
- The notice period.
- The method for calculating paid leave.
- The number of RTT days (for contracts exceeding 35 hours per week).
- The workplace location and any obligation to change sites.
- Overtime premium rates and compensatory rest calculations.
- Any non-compete or exceptional clauses related to the position.
Mandatory clauses for fixed-term contracts (CDD)
For fixed-term contracts, the employer must specify:
- The reason for using a fixed-term contract (e.g., replacement, temporary activity increase, seasonal work).
- The contract’s duration with start and end dates.
- A trial period proportional to the duration of employment.
- The job position and, if applicable, the name of the person being replaced.
- A clause on the possibility of contract renewal.
Note that a fixed-term employee’s salary must not be lower than that of an equivalent permanent employee.
Special case: temporary (interim) contracts
For temporary work contracts, in addition to the previous details, include:
- The period covered by the temporary worker.
- Specific payment details (such as monthly paid leave) applicable to temporary work.
- A clause stating the possibility of permanent employment at the end of the assignment.
Conclusion
Including these essential details in an employment contract ensures legal clarity and prevents disputes. Whether the contract is signed on paper or digitally, using secure digital signing solutions can enhance authenticity and streamline the process.
