Also known as a contract of service. Contrast with Contract for services.

A contract of service or apprenticeship, whether express or implied and, if express, whether oral or in writing (section 230(2), Employment Rights Act 1996). Whether or not an individual is working under a contract of employment will determine whether they are entitled to certain statutory rights, such as statutory redundancy payments and statutory maternity pay and the right not to be unfairly dismissed.

This can be contrasted with a contract for services or a worker relationship, where the relationship between the parties is not that of employer and employee.

For a contract of employment to arise there must at least exist an obligation to personally perform the work, mutuality of obligations between employer and employee, and a sufficient element of control over the employee's work (Ready-Mixed Concrete (South East) Limited v the Minister of Pensions and National Insurance [1968] 2 QB 497).

For more information, see Practice note, Employment status (2): how to identify an employment contract. For additional statutory definitions of "employment" for other purposes such as discrimination, see Practice note, Employment status (1): employee, worker or self-employed?: "Employment" for other purposes.

For a standard employment contract, see Standard documents, Employment contract for a senior employee and Employment contract for a junior employee.