Free agreement template · Word

Employment Contract

An employment contract is a signed document that records the terms on which an employee works for an organisation. This simple contract suits SMEs and shops that want clear numbered terms on pay, hours, leave, conduct, data handling and exit without heavy legal drafting.

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[Company Logo][Company Name]

CONTRACT OF EMPLOYMENT

Ref. No.:: [Reference Number]
Date:: [Date]

Employer: [Company Name], [Company Address], Shops & Establishments Reg. No. [Registration Number]
Employee: [Employee Name], [Employee Address]

Both parties agree to the following terms of employment.

Job title: The Employee is employed as [Designation] and will report to [Reporting Manager].
Start date: Employment starts on [Date of Joining]. Previous service with any other employer does not count.
Place of work: [Work Location], or another location of the Employer within [City/State] when reasonably required.
Pay: Gross monthly salary of ₹[Amount] (annual CTC ₹[CTC]) paid by bank transfer by the [Pay Day] of each month, after deduction of PF, ESI, professional tax and TDS as applicable.
Hours: [Working Hours] per day, [Working Days] days per week, with a weekly off on [Weekly Off]. Overtime, when approved in advance, will be paid as per law.
Leave and holidays: As per the Employer's leave policy and applicable state rules.
Probation: [Probation Period] months. Notice during probation is [Probation Notice].
Conduct: The Employee will follow the code of conduct, attendance rules, POSH policy and safety instructions.
Data protection: The Employee will use customer and employee personal data only for work purposes and keep it secure.
Disciplinary matters: Any allegation of misconduct will be handled through a written show-cause notice and an opportunity to explain before any action.
Ending employment: After probation, either party gives [Notice Period] written notice or pay in lieu. The Employee will complete handover and return company property. Full and final settlement will be made within [F&F Days] days of the last working day.
Other terms: [Role-Specific Terms]
Entire contract: This contract, with the salary annexure and company policies, forms the full terms. Changes must be in writing.

Signed on the date written above.

For [Company Name]
[Authorised Signatory]
[Designation]

Employee
[Employee Name]
Signature: ____________
Date: [Date]

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What this template includes

Plain-language numbered terms that staff understand
Pay day and mode of payment for transparency
Overtime clause linked to applicable law
Data protection clause for customer and employee data
Disciplinary procedure reference to keep action fair
Exit clause covering notice, handover and F&F timeline

When to use it

Small and mid-sized businesses hiring office or store staff
Employers who want a short contract both sides can read in one sitting
Regularising long-serving staff who have no written terms
Branch hires where the head office wants uniform terms

How to customise this template

1Fill the employer details and Shops & Establishments registration number
2Set working hours and weekly off per your state rules
3Adjust the overtime clause to your actual practice
4Add role-specific terms in clause 12 if needed
5Translate into the local language if the employee prefers

HR tips

Give a copy in a language the employee understands
Avoid clauses that waive statutory rights; they are not valid
Write the full and final settlement timeline you can actually meet
Review the contract once a year for law changes

This template is a starting point only. Review it against applicable labour laws (including the Labour Codes in force from 21 November 2025 and the state rules being notified), your Shops & Establishments registration, standing orders and company policies, and take advice from a legal adviser where needed.

For HR & hiring managers

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Frequently asked questions

Is an employment contract different from an employment agreement?+

In practice the terms are used interchangeably. Both are signed contracts; this format is shorter and written for smaller employers.

Can an employment contract be oral in India?+

An oral arrangement can still create employment, but it is hard to prove terms. A written, signed contract protects both sides.

Should overtime be mentioned in the contract?+

Yes. State how overtime is approved and paid, in line with applicable law, so there is no confusion later.

All 50 appointment & employment letters →

[Company Logo][Company Name]
CONTRACT EMPLOYMENT LETTER
Ref. No.:
[Reference Number]
Date:
[Date]
To,
[Candidate Name]
[Candidate Address]
[City] – [PIN Code]
Subject: Appointment on Contract Basis – [Designation]
Dear [Candidate Name],

We are pleased to engage you on a contract basis as [Designation] for the [Project Name] at [Company Name], on the following terms.
1. Tenure: [Contract Period] months, from [Start Date] to [End Date].
2. Remuneration: Consolidated monthly remuneration of ₹[Amount], subject to PF, ESI, professional tax and TDS as applicable.
3. Scope: You will be responsible for [Key Deliverables] and will report to [Reporting Manager].
4. Place of work: [Work Location], including client sites when required.
5. Leave: [Leave Days] days of leave for the contract period, as per the contract staff policy.
6. Renewal: Renewal, if any, depends on project requirement and your performance and will be confirmed in writing before [Renewal Review Date].
7. Early termination: Either party may end this contract with [Notice Period] written notice or pay in lieu.
8. Confidentiality: Project and client information must not be disclosed during or after the contract.
9. Status: The contract ends on the end date and does not by itself create a right to permanent employment.
Please sign and return the duplicate copy along with your joining documents.

Yours sincerely,
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[Company Logo][Company Name]
EMPLOYMENT CONTRACT RENEWAL LETTER
Ref. No.:
[Reference Number]
Date:
[Date]
To,
[Employee Name]
Employee ID: [Employee ID]
[Designation], [Department]
[Work Location]
Subject: Renewal of Your Employment Contract
Dear [Employee Name],

Your [fixed-term / contract] employment as [Designation] under the agreement dated [Original Contract Date] is due to end on [Current End Date]. Based on business requirements and your performance, we are pleased to renew your employment as follows.
1. Renewed term: From [Renewal Start Date] to [Renewal End Date].
2. Remuneration: Your monthly gross will be ₹[Amount] (annual CTC ₹[CTC]) with effect from [Renewal Start Date].
3. Duties: [No change in duties / Revised duties as attached].
4. Leave: Your unused leave balance of [Leave Balance] days will be carried forward into the renewed term.
5. Continuity of service: Your service will be treated as continuous for PF, ESI and gratuity purposes as per law.
6. Expiry: Your employment will end on [Renewal End Date] unless renewed again in writing.
7. Other terms: All other terms of your original agreement continue to apply.
Please sign the duplicate copy to confirm your acceptance before [Acceptance Deadline].

Yours sincerely,
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Employment Contract Renewal Letter
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[Company Logo][Company Name]
LETTER OF APPOINTMENT
Ref. No.:
[Reference Number]
Date:
[Date]
To,
[Candidate Name]
[Candidate Address]
[City] – [PIN Code]
Subject: Letter of Appointment – [Designation], [Department]
Dear [Candidate Name],

Further to your acceptance of our offer dated [Offer Date], the management of [Company Name] is pleased to appoint you to its services on the terms set out below.
1. Position and duties: You are appointed as [Designation]. Your main duties are described in Annexure B. The management may assign other duties suited to your skills from time to time.
2. Commencement: Your employment begins on [Date of Joining]. Your seniority will be counted from this date.
3. Place of work and transfer: Your initial place of posting is [Work Location]. You may be transferred to any office, branch or associated company in India, with reasonable notice and applicable allowances.
4. Compensation: Your annual CTC is ₹[CTC], made up as per Annexure A. Salary is paid by bank transfer on or before [Pay Day] of the following month.
5. Probation and confirmation: You will be on probation for [Probation Period] months. Confirmation will be communicated in writing; without it, you remain on probation.
6. Leave: You are eligible for [Earned Leave] days earned leave, [Casual Leave] days casual leave and [Sick Leave] days sick leave per year, plus declared holidays, as per the leave policy.
7. Statutory coverage: PF, ESI (if eligible), gratuity and bonus will apply as per law.
8. Termination: After confirmation, either party may end this employment with [Notice Period] notice or pay in lieu. Employment may be ended without notice for proven misconduct after due inquiry as per standing orders.
9. Retirement: You will retire on reaching the age of [Retirement Age] years.
10. Company property: On leaving, you will return the laptop, ID card, documents and any other company property before full and final settlement.
11. Jurisdiction: Any dispute will be subject to the courts at [City].
Please confirm your acceptance by signing and returning the duplicate copy. We look forward to a long association.

Yours faithfully,
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Employment Appointment Letter
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[Company Logo][Company Name]
CONFIRMATION OF EMPLOYMENT
Ref. No.:
[Reference Number]
Date:
[Date]
To,
[Employee Name]
Employee ID: [Employee ID]
[Designation], [Department]
[Work Location]
Subject: Confirmation of Your Employment
Dear [Employee Name],

We refer to your appointment letter Ref. [Appointment Letter Ref.] dated [Appointment Date], under which you joined [Company Name] as [Designation] on [Date of Joining].
Based on the review of your performance, attendance and conduct by [Reporting Manager], the management is pleased to confirm you in the services of the company with effect from [Confirmation Date].
Terms applicable from the date of confirmation
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Employment Confirmation Letter
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[Company Logo][Company Name]
EMPLOYMENT AGREEMENT
Ref. No.:
[Reference Number]
Date:
[Date]
This Employment Agreement ("Agreement") is made at [City] on [Date] between:

[Company Name], a company incorporated under the Companies Act, 2013, having its registered office at [Company Address] (the "Company"); and

[Employee Name], son/daughter of [Parent Name], residing at [Employee Address] (the "Employee").
The Company wishes to employ the Employee, and the Employee agrees to be employed, on the terms set out below.
1. Appointment and Term
1.1 The Company appoints the Employee as [Designation] in the [Department] department with effect from [Date of Joining].
1.2 The employment will continue until ended under Clause 9.
2. Duties
Agreement · Word
Employment Agreement
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[Company Logo][Company Name]
FIXED-TERM EMPLOYMENT AGREEMENT
Ref. No.:
[Reference Number]
Date:
[Date]
This Agreement is made on [Date] at [City] between [Company Name], [Company Address] (the "Employer") and [Employee Name], [Employee Address] (the "Employee").
1. Engagement and Term
1.1 The Employer engages the Employee as [Designation] for the purpose of [Project / Reason for Fixed Term].
1.2 The term starts on [Start Date] and ends automatically on [End Date] (the "Term") unless ended earlier under Clause 7 or extended under Clause 8.
2. Duties
The Employee shall perform the duties listed in Schedule A under the supervision of [Reporting Manager] at [Work Location].
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Fixed-Term Employment Agreement
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[Company Logo][Company Name]
PERMANENT EMPLOYMENT AGREEMENT
Ref. No.:
[Reference Number]
Date:
[Date]
This Agreement is entered into on [Date] between [Company Name], having its office at [Company Address] ("Company"), and [Employee Name], residing at [Employee Address] ("Employee").
1. Appointment
The Company employs the Employee as [Designation], [Department], on a permanent basis with effect from [Date of Joining]. Service with the Company from [Seniority Date] will count for seniority.
2. Tenure
Employment is for an indefinite period and continues until the Employee reaches the retirement age of [Retirement Age] years, or until ended under Clause 9.
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Permanent Employment Agreement
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[Company Logo][Company Name]
LETTER OF APPOINTMENT ON PROBATION
Ref. No.:
[Reference Number]
Date:
[Date]
To,
[Candidate Name]
[Candidate Address]
[City] – [PIN Code]
Subject: Appointment on Probation as [Designation]
Dear [Candidate Name],

We are pleased to appoint you as [Designation] in [Department] at [Company Name], [Work Location], with effect from [Date of Joining]. Your appointment is on probation on the terms below.
1. Probation period: [Probation Period] months from your date of joining.
2. Remuneration: Annual CTC of ₹[CTC] as per the enclosed salary annexure.
3. Reporting: You will report to [Reporting Manager], who will guide and assess you during probation.
4. Notice during probation: Either side may end the employment with [Probation Notice] written notice or pay in lieu.
5. Extension: If your performance needs more time to be assessed, probation may be extended once by up to [Extension Period] months, with written reasons.
6. Confirmation: You will be treated as confirmed only on receipt of a written confirmation letter.
Probation review plan
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Probationary Employment Letter
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