In this climate of entrepreneurship we see happening around us I encounter many start-up SME’s who are confused about the steps required when they begin to expand and take on employees. There seems to be a heavy focus on getting the right people at recruitment stage but considerable confusion about what happens next.
Information on the requirements tends to be confusing and in a world where time is precious, managers are both under pressure to get the employee on board quickly and also lack the time to research the requirements and legal obligations etc. This can lead to bigger issues down the road. My advice would be to get this stage right and start as you mean to go on.
Putting some structure around working relationships from the outset can avoid problems down the road and one of the simplest ways to do this is to have a strong Employment Contract. In addition to it being a legal requirement when you employ someone, its a great way to set your expectations from the word go and also clarifies what is and is not acceptable in your organisation. You can also set out the steps that you will follow if things don’t go as planned and this is really important if things don’t work out or you need to terminate an employee or encounter a disciplinary issue.
Employing people is expensive and doing it wrong can be costly in more ways than financial ones. Make sure you are protected as an employer by having a comprehensive employment contract. Its worth the time and effort.