When the contract is being written between the employee and the employer, both the parties should abide by the agreements stipulated in the contract. Not following what’s written in the contract may result in suspension, or worse, termination of employment.
Breach of contract happens when an employer or the employee breaks at least one of the clauses written in the contract. To put a remedy to the breach, a new contract is made in order to streamline things.
A Breach of Employment contract letter is a general HR Process that is used for recording a breach in the contract signed with the employer.
If an employee violates a contract, you as an employer should try to settle the matter informally with the employee, but you can also sue him/her for the damages caused. The most common breaches of agreement by an employee are when:
There can be two types of employment contract breach namely, material breach and non-material breach. Material breach refers to the failure in abiding by the serious clauses in the agreement whereas,
Non-material breach refers to the violation of lesser serious parts of the employment contract.
For the material breach, the employer can:
For non-material violations, the employer can:
There are various examples of an employer-employee contract breach. Since the violation can be done by both the parties, the most common examples of:
The brief answer is, Yes. However, this shouldn’t be an employer’s first course of action. If you think that an employee has breached the contract, you should first try to solve the matter informally.
Employers may ask for damages, but only if they can prove that the business suffered financial losses from the actions of the employee. For instance, if an employer quits the job without serving the notice period and the company suffers a financial loss, you can sue the employee for the same.
Moreover, if an employee violates the restrictive covenants like accepting a job offer from a competitor or setting up a business similar to that of yours, you can apply to the court for an injunction to stop them.
However, as said earlier, your first course of action should be settling the matter internally, you can do this by issuing a Breach of employment contract letter to the employee.
There are several HRMS Softwares that provide free customized HR letters in order to reduce redundant work. However, this blog has all the necessary details that will help you in writing an effective letter for breach of the employment contract.
Read further to see the sample and examples for the same.
It is very important to issue a Contract Breach letter to the employees violating the rules of the company mentioned in the contract. As we all know, everyone is busy these days and no individual has got time to sit and write the letters, hence, we have made it easier for you.
UBS HRMS Software’s HR Toolkit is the solution for your problem. We provide HR letters that can be used by anyone according to their requirements. No matter if you are a company or an individual, you can use our letter formats just after making some amendments.
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