BC Employment Contracts: What You Need to Know About

Published by:
Abigail Moses

Reviewed by:
Alistair Vigier
Last Modified: 2024-01-20
BC is known for its flourishing economy and diverse workforce. As you embark on your career in BC, it is essential to be familiar with the terms of your employment contract.
This guide aims to provide an in-depth understanding of what you need to know about employment contracts in BC, as it is a legally binding agreement between you and your employer that outlines the terms and conditions of your employment.
The Terms to Look Out for in BC Employment Contracts
Employment contracts in BC come in two forms, written and verbal. Although verbal agreements are legally binding, it is advisable to have your employment terms in writing to avoid misunderstandings.
Your employment contract should contain essential information, such as job title, description, salary, working hours, duration of employment, notice periods, benefits, and termination provisions.
Your employment contract should indicate your job title and description, which establishes the framework for your roles and responsibilities. Job descriptions also form the basis for evaluating your job performance and determining your remuneration.
Your employment contract should specify your salary, including any other compensation such as bonuses and benefits. It should also indicate your working hours and whether you are eligible for overtime pay.

Duration of Employment and Termination Provisions
Your employment contract should specify the duration of your employment, whether it is permanent or fixed-term. Moreover, it should also contain provisions for terminating your employment, such as notice periods, reasons for termination, and severance pay.
Benefits are an essential component of employment contracts in BC. Vacation pay, sick leave, health, and dental benefits, and pension plans are some of the benefits that could be included in your contract. They should be considered when negotiating your contract.
Amendments to Employment Contracts
Your employer can change your employment contract through mutual agreement. However, any changes made should be in writing and signed by both parties. In case of significant changes to your employment contract without your consent, it may constitute constructive dismissal, which gives you the right to claim damages.
If your employer breaches your employment contract, you may be entitled to legal remedies. This can include damages for breach of contract, wrongful dismissal, or other remedies available under the Employment Standards Act.
Insights into Employment Contracts in BC
A survey conducted by the BC government in 2020 found that 82.8% of BC employees had written employment contracts. The most common terms found in these contracts were hours of work, job title, and job description.
Regarding benefits, the same survey revealed that 90.3% of employees had vacation pay, while 80.6% had sick leave. Only 27.7% of employees had a pension plan, and 44.6% had health and dental benefits.
Employment contracts are vital aspects of the employment relationship in BC. They provide clarity and certainty for both employers and employees and outline the terms and conditions of employment.
It is crucial to understand the key terms in your employment contract to protect your rights and ensure a fair and equitable employment relationship.
If you have any questions or concerns regarding your employment contract in BC, it is recommended that you seek the advice of a qualified employment lawyer.
While employers in British Columbia are not legally required to provide a written employment contract to their employees, doing so can greatly benefit both parties. A written contract clearly outlines the terms and conditions of employment, reducing the likelihood of misunderstandings or disputes.
According to a survey conducted by the BC government in 2020, 82.8% of BC employees reported having a written employment contract.
Employment Offers vs. Formal Contracts
Employers are required under the BC Employment Standards Act to provide employees with a written employment offer that includes the job title, wages, and other terms and conditions of employment within the first week of employment.
But keep in mind that this offer does not constitute a formal employment contract. It is important to distinguish between an employment offer and a formal employment contract, as the latter provides a more detailed description of the employment relationship.

What is the difference between an employment agreement and an employment contract?
In the world of employment law, the terms “employment agreement” and “employment contract” are often used interchangeably to refer to a legal agreement between an employer and employee that outlines the terms and conditions of employment.
Sometimes these terms may be used to refer to slightly different types of agreements.
An employment agreement in BC may be considered a more informal document that outlines the basic terms of employment, such as job responsibilities, salary, and work schedule.
While this type of agreement may not be as detailed or legally binding as an employment contract, it still provides important guidance for both the employer and employee to establish a mutually beneficial employment relationship.
On the other hand, an employment contract is typically considered a more formal and detailed legal agreement that covers a wider range of issues related to the employment relationship.
This type of agreement may include specific clauses related to confidentiality, non-compete agreements, intellectual property rights, and other matters that are important to the employer.
What if an employee in BC does not have a contract?
In the absence of a written employment contract, the terms and conditions of employment can be determined by various sources such as verbal agreements, company policies, and employment legislation.
This can lead to uncertainty and confusion about the employment relationship, potentially resulting in disputes between employers and employees.
According to a survey conducted by the Ministry of Labour in Ontario, 48% of non-unionized employees did not have a written employment contract. Furthermore, the same survey found that 63% of employees who did not have a written employment contract were not aware of their employment rights.
Without an employment contract in BC, employers may be at risk of legal action if they fail to comply with minimum employment standards established by law.
The Employment Standards Act in BC sets out minimum standards for notice of termination, severance pay, minimum wage, and overtime pay.
A study by the Canadian Labour Congress found that non-unionized workers who do not have written employment contracts are more likely to experience precarious employment, which can include unpredictable schedules, low pay, and lack of job security.
Working hours and overtime
Signing an employment contract is one of the most significant things you will do in your career, but many employees are not fully aware of the terms and conditions that their employment contract includes.
Employment contracts are legal agreements between employers and employees that come into effect when you accept a new job position. Employment contracts typically cover job expectations and responsibilities, compensation, working hours, overtime, and vacation or leave entitlements.
The Employment Standards Act in British Columbia sets minimum standards for employment contracts. These standards ensure that all employees are treated fairly, have adequate working conditions, and receive a sufficient work-life balance.
Your employment contract can offer more benefits and additional rights than what is contained in the Employment Standards Act, but it cannot list anything less.
Some of the minimum requirements set by the Employment Standards Act that should appear in your employment contract include the minimum wage, maximum daily hours, minimum hours free from work, severance pay upon termination, maternity and parental leave, child employment, termination of employment notice, and conditions of employment.
An employment agreement that does not consider the minimum level of benefits is considered invalid.
Written contracts
Although a written contract is not necessary for a valid employment relationship, we recommend that you seek a written record of your employment agreement to clarify your job expectations and your employer’s obligations to you.
Written employment contracts can also prevent disputes that may arise between you and your employer.
If you believe that your employer has terminated your employment without providing sufficient notice or payment, this could be considered wrongful dismissal. Make sure to read about wrongful dismissal to understand your rights and consult with an employment lawyer.
Before signing a new employment contract, be aware of your rights and consult with an employment lawyer if you have any concerns about your employment contract.
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