Philippines Employment Guide

Essential Elements of International Employment Contracts

When drafting employment agreements for overseas staff, contracts must be executed in English, though bilingual versions are acceptable. All agreements require written documentation with signatures from both employer and employee to ensure legal validity.

A comprehensive employment contract should clearly specify the following key components:

1. Full legal names of both parties
2. Official commencement date of employment
3. Duration and type of employment arrangement
4. Detailed job description and responsibilities
5. Termination conditions and notice periods

Understanding Probationary Periods in Global Context

While probation periods aren't mandatory in many jurisdictions, they represent standard practice for permanent positions. SailGlobal recommends a 90-day probationary term as industry standard, with maximum periods typically capped at 180 days (six months) under most international labor regulations.

Important distinction: Fixed-term contracts generally cannot include probationary clauses, as confirmed by numerous international labor tribunals. For example, in a recent Southeast Asian case, a company faced penalties for imposing probation on fixed-term contractors.

Best Practices for Global Workforce Management

Successful international HR departments at companies like SailGlobal implement standardized contract templates that adapt to local requirements while maintaining corporate consistency. Regular audits ensure compliance with evolving labor laws across different countries.