SS2 Commerce Lesson Note on Right of Obligation of Employer and Employee

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RIGHT OF OBLIGATION AND EMPLOYER AND EMPLOYEE

THE EMPLOYER

The employer is someone or an institution that hires or provides work for another person called the employee for an agreed remuneration.

DUTIES OF AN EMPLOYER

1. Payment of remuneration to the employee. He has a duty to pay his employee’s remuneration according to the terms of contract.
2. Provision of safe place for work: He must provide a very safe place for his workers in order to carry out duties assigned to them.
3. Provision of necessary tools and equipment: He must provide all necessary tools and equipment for proper execution of his employee’s duties.
4. He must indemnify his employee: He must indemnify his employee against any loss arising from the proper performance of his duties.
5. He must accept responsibility for personal injury: The employer must accept responsibility for injury sustained by an employee during the course of carrying out his duties.
6. Provision of training facilities: The employer must provide training facilities as well as incentive to motivate his employee in order to increase productivity.
7. Job security: The employer must provide adequate job security. He must assure the employee that their employment is permanent.

RIGHTS OF THE EMPLOYER

1. Right to use invention of the employee: He has every right to use of anything invented by the employee with his facilities and more especially during the working period.
2. Right to fix remuneration: The employer has right to fix wages and salaries of his employee.
3. Right to relieve employee of his job: He can terminate the appointment of his employee after giving him due notice (usually one month).
4. Right to employ or hire anybody: The employer has the right to hire whoever he pleases without being questioned.

THE EMPLOYEE

The employee is one who agrees to perform services to an employer in exchange for the payment of an agreed remuneration.

DUTIES OF AN EMPLOYEE

1. Performance of duties according to terms.
2. Keeps the secret of his employer: He must not reveal confidential and secret information regarding the employer’s trade.
3. Obeys order and instructions: He must obey orders and instructions from his employer in respect to the work assigned to him.
4. Must serve faithfully and honestly: He must serve faithfully and honestly.
5. Exercises good faith: The employee has a duty to act in good faith when discharging his duties on benefit of his employer.
6. Must be accountable to his employer for the discharge of his responsibilities.
7. Must not delegate his duties: He is not to delegate the performance of his duties to another person without the authority of the employer.

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