Why does Horizons recommend Unlimited Employment Agreements in Nigeria?
Horizons recommends the use of unlimited employment agreements as the standard offer in Nigeria, reflecting a forward-thinking approach to employment contracts.
What is an Unlimited Employment Agreement?
An unlimited employment agreement, also known as an indefinite employment contract, does not specify an end date for the employment relationship. Instead, it continues indefinitely until either the employer or the employee decides to terminate it, subject to the terms and conditions outlined in the contract.
Why is an Unlimited Employment Agreement Recommended?
Flexibility for Both Parties
- Full-Time and Part-Time: Unlimited agreements are suitable for both full-time and part-time positions. This flexibility allows employers to offer consistent and stable employment terms across various types of roles within the organization.
- Long-Term Employment: By not setting an end date, these agreements support long-term employment relationships, which can be beneficial for workforce stability and continuity.
Job Security and Stability
- Employee Confidence: Unlimited agreements provide employees with a sense of job security and stability, which can enhance their commitment and engagement with the company.
- Reduced Turnover: The stability offered by indefinite contracts can help reduce employee turnover and associated recruitment and training costs.
Compliance and Best Practices
- Standard Practice: Using unlimited agreements aligns with best practices in employment law and ensures compliance with Nigerian labor regulations, which generally favor long-term employment arrangements.
- Adaptability: These agreements can be adapted to include specific clauses related to performance, conduct, and termination procedures, providing a clear framework for managing employment relationships.
Clear Terms and Conditions
- Defined Expectations: Although the agreement is indefinite, it includes clear terms and conditions regarding job responsibilities, compensation, and other employment aspects. This clarity helps prevent disputes and misunderstandings.
- Termination Procedures: The agreement outlines the procedures for voluntary or involuntary termination, ensuring that both parties understand their rights and obligations.
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