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Term Contract Employment Template for Philippines

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Term Contract Employment

"I need a Term Contract Employment Agreement for a Software Developer position in Manila, Philippines, for a specific project running from March 1, 2025, to December 31, 2025, with potential remote work arrangements and intellectual property provisions."

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What is a Term Contract Employment?

The Term Contract Employment Agreement is utilized in the Philippines when establishing legitimate fixed-term employment relationships as permitted under Philippine labor law and jurisprudence. This document is specifically designed for situations where temporary employment is justified by the nature of the work, project requirements, or business circumstances, following the guidelines established by the Brent School doctrine and subsequent Supreme Court decisions. It's commonly used for project-based work, seasonal employment, or specific-duration assignments where the fixed term is a genuine requirement of the position. The agreement must comply with the Labor Code of the Philippines, DOLE regulations, and other relevant employment legislation, including mandatory provisions for employee benefits and protections. This document type is crucial for employers seeking to properly document fixed-term employment while ensuring compliance with Philippine labor laws and protecting both employer and employee interests.

What sections should be included in a Term Contract Employment?

1. Parties: Identification of the employer and employee with complete legal names and addresses

2. Background: Context of the employment arrangement and basis for fixed-term contract

3. Definitions: Key terms used throughout the agreement

4. Term of Employment: Specific start and end dates of employment, including justification for fixed-term nature

5. Position and Duties: Job title, role description, and key responsibilities

6. Work Location: Primary workplace and any flexibility arrangements

7. Compensation and Benefits: Salary, mandatory benefits, and other compensation elements

8. Working Hours: Regular working hours, rest days, and overtime provisions

9. Leave Entitlements: Vacation, sick leave, and other leave benefits

10. Statutory Benefits: SSS, PhilHealth, Pag-IBIG, and other mandatory benefits

11. Confidentiality: Protection of company confidential information

12. Company Policies: Compliance with employer policies and procedures

13. Termination: Grounds and procedures for contract termination

14. Final Provisions: Governing law, jurisdiction, and entire agreement clause

What sections are optional to include in a Term Contract Employment?

1. Probationary Period: Include if the fixed-term contract includes an initial probation period

2. Performance Requirements: Include for roles with specific performance metrics or targets

3. Intellectual Property: Include for technical, creative, or research positions

4. Non-Competition: Include for senior positions or roles with access to sensitive information

5. Mobility Clause: Include if employee may be required to work at different locations

6. Commission Structure: Include for sales or commission-based positions

7. Training Requirements: Include if specific training or certifications are required

8. Data Privacy Consent: Include detailed data processing terms if handling sensitive personal data

9. Remote Work Provisions: Include if position allows for remote working arrangements

10. Project-Specific Terms: Include for project-based employment contracts

What schedules should be included in a Term Contract Employment?

1. Schedule 1 - Job Description: Detailed description of role, responsibilities, and reporting lines

2. Schedule 2 - Compensation Details: Breakdown of salary, allowances, and other benefits

3. Schedule 3 - Company Policies: Key company policies and procedures applicable to the employee

4. Schedule 4 - Performance Metrics: Specific KPIs and performance evaluation criteria

5. Schedule 5 - Benefits Summary: Detailed description of all benefits and eligibility criteria

6. Appendix A - Code of Conduct: Company's code of conduct and ethical guidelines

7. Appendix B - Confidentiality Agreement: Detailed confidentiality obligations and requirements

8. Appendix C - Employee Handbook: Reference to or summary of key employee handbook provisions

Authors

Alex Denne

Head of Growth (Open Source Law) @ 黑料视频 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

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