Breach of employment contracts

Breach of employment contracts


Employment contracts contain terms and conditions which both the employee and employer agree upon. Ideally, this contract should be written rather than confirmed verbally to avoid miscommunications or misunderstandings. Contracts may also contain implied terms i.e. not misusing confidential information.

Employment contracts are also governed by legislation that provides further information about the minimum terms required, remedies that can be utilised, and basic regulatory frameworks. The industry you are in may also have additional industry-specific requirements that are legally reinforced.

Breach of employment occurs when employers or employees fail to comply with the terms of the contract. The innocent party may be entitled to sue for the damages that have occurred as a result of the breach – so that they can be restored. A substantial breach may also allow an immediate termination of the contract and additionally allow individuals to sue for any loss incurred.

In the case that an employer or employee has breached a contract, it may be easier to navigate the difficult processes that need to be completed with the help of a legal advisor. This is because a breach of contract can be fairly nuanced and information provided on websites may not be sufficient enough to lead the process without help from a legal professional.

The government may be able to provide free or concessional legal advice which should be utilised as legal proceedings can often be costly.

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If you believe the matters discussed above are relevant to your business, please contact Darren Smith of our office to discuss further.


Darren is a Chartered Accountant with extensive experience, including working in the big 4 and medium sized firms before becoming a partner of a city based firm in 2000.

He has gained much experience and has extensive knowledge in providing business and taxation advice, superannuation planning, negotiation of sales and acquisitions of businesses and property development. His client base covers a wide range of industry groups.

Darren works with business owners to grow their businesses and create personal wealth within and outside of their business.


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