Preparing Offer Letters & Employment Contracts
After sending an offer, promptly issue an employment contract and labor conditions notice. Electronic contracts streamline the process.
【Obligation to issue labor conditions notice】
Under the Labor Standards Act, the following must be disclosed in writing (or electronically) at the time of hiring:
· Contract period, workplace, and job duties
· Prescribed working hours and whether overtime exists
· How wages are determined, calculated, and paid
· Matters related to resignation (including dismissal)
【Difference from employment contract】
Labor conditions notice: unilaterally issued by the company (no signature required)
Employment contract: signed by both parties (can also serve as the conditions notice)
【Using electronic contracts】
Under the Electronic Signatures Act, employment contracts can be digital.
· Delivery by email etc. is permitted with mutual agreement
· E-signature services make evidence storage easy
【Caution on revoking offers】
An offer constitutes a formed employment contract. Revoking it without legitimate reason is illegal and carries risk of liability for damages.
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