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Employment offers and contracts

An employment offer or contract sets out the rights and obligations of an employer and an employee in an employment relationship. Employment offers and contracts must meet legal minimum standards.

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Employment offers and contracts set out rights and obligations of an employer and an employee in an employment relationship.

They can be verbal or in writing.

An employment offer is often presented by an employer as an offer of employment, either in a letter or a formal contract.

Clear, straightforward employment contracts can help employers and employees know what they can expect from each other. Positive working relationships are more likely when everyone is on the same page.    

It is important that an employee understands an employment offer or contract before they accept it. Accepting an employment offer can mean agreeing to an employment contract with particular terms and conditions.

An employee can’t be forced to agree to particular terms. They can negotiate or ask for changes to an employment offer or contract before they accept it.

There are also laws for children and young people including junior pay rates, and state and territory laws that apply to children and young people who are working. 

Employment contracts must meet the legal minimum standards

An employment offer or contract cannot include terms and conditions that are less than the legal minimum employee pay and conditions

If it does, those terms and conditions will be invalid and the legal minimums will apply instead. 

Employers who do not meet the legal minimums risk financial penalties and back pay. If their actions were deliberate, they can face criminal sanctions.


What to put in an employment contract 

What goes in an employment contract can vary depending on the job and the arrangement. It can be good to include:

  • the employer’s details
  • the employee’s details
  • the role, job duties and location — or a copy of the position description, if it includes these details
  • what type of employment it is — for example, full time, part time or casual, ongoing or fixed term
  • the pay rate or salary
  • the start date
  • how employment may come to an end, including any notice period
  • details of the legal minimum employment terms and conditions that apply — for example, which award or enterprise agreement applies, or whether the minimum wage or national employment standards.
  • hours of work, rosters, shifts, breaks that the employee will work
  • how the employee will be paid — for example, weekly, fortnightly or monthly, by bank transfer
  • how much superannuation the employee will be paid
  • paid or unpaid leave entitlements
  • information about any workplace policies — for example, codes of conduct, work health and safety policies (copies may be attached, or details on where to find them)
  • the process for resolving disputes in the workplace — this could already be set out in an award or enterprise agreement
  • who owns any intellectual property
  • any confidentiality requirements.

Business.gov has a free interactive employment contract tool to help with drafting an employment contract in the national employment system.

Some terms and conditions will automatically apply because they are legal minimum entitlements, even if they are not included in the employment contract. 

Learn more about this on our employee pay and conditions page.

And remember: the legal minimums are minimums. An employer can choose to provide more generous terms and conditions than the legal minimums.


What else should be included with an employment offers or contracts

Employers should check if they need to include any other information in an employment offer.

For example, employers in the national employment system must give new employees a copy of the Fair Work Information Statement. It sets out the minimum employment entitlements that apply to employees and employers covered by the Fair Work Act.

A national system employer must also give a:

Some awards or enterprise agreements may require an employer and employee to set out certain terms and conditions in a written employment contract. Learn more about employee pay and conditions.

Keep learning:

Employment contracts

Fair Work Ombudsman

Learn more
Employment contracts (WA)

Wageline WA

Learn more
Information statements (national employment system)

Fair Work Ombudsman

Learn more
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About employment relationships

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Employee minimum pay and conditions

There are legal minimum rates and conditions for employees in Australia. These are set out in workplace law. Employees can’t be paid less than the legal minimums – even if they agree to.

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