Offer Negotiation
Employment Contracts
It is easy to become excited once you are offered a job, especially if it is your first. However, there are some important steps worth considering before accepting a formal offer of employment.
Before accepting it is important to thoroughly check the employment agreement, otherwise known as a contract. The employment contract sets out the terms and conditions of employment and is legally binding. Employers generally provide a written employment contract even if you have been employed as a casual. The most opportune time to request a contract is during the weeks leading up to your first day. Ensure you understand every clause written in the contract. If unsure, seek independent legal advice.
The main advantage of having a written employment contract is that both parties have exactly the same understanding of the wages and conditions of employment. This can reduce or avoid the risk of disputes in the future.
A standard employment agreement should cover the following information:
- Applicable awards (if any)
- Employment type (full-time, part-time, casual)
- Salary plus superannuation entitlements
- Probation period (standard is three months)
- Notice periods during termination and probation periods
- Entitlements (annual leave, personal leave, long-service leave)
- Hours of work
- Public holidays
- Dress and communication standards
Employment contracts can also include confidentiality clauses to reduce the risk of an employee using information for personal gain. They may also feature non-competition or restraint-of-trade clauses to protect the firm when an employee resigns.
If you are accepting a position in a corporate office or business you may receive a number of different agreements: AWA, enterprise bargaining agreement or certified agreement.
Position Description (PD)
Often you will have received a position description when applying for the role. If you haven't, request a position description before signing your contract. The position description allows both parties to clearly understand the role. A position description will also minimise disputes along the way.
A standard PD will cover:
- Role definition - why this job exists
- Major accountabilities of the position
- Objectives
- Performance indicators - how will the achievement of the objective be measured
- Knowledge and skills required
- Level of training, qualifications and experience (distinguish between essential and desirable)
- Important contacts and the purpose of each (internal or external)
- Authority levels - decisions and recommendations expected
- Reporting lines
Regional Positions
When negotiating a position in regional Victoria you should also think about:
- Relocation allowance
- Incremental incentive based package
- Study leave or seminar attendance
- Professional networks and development opportunities
- Funding for training or education
- Available online information services