Why should an employer have a written & signed employment contract?

A written contract of employment which clearly sets out the essential terms of the agreement between an employee and employer can curtail the possibility of a dispute between the parties later in the employment relationship. Employers will greatly benefit by having a clear and unambiguous termination clause to ensure that they do not violate the notice provisions of the BC Employment Standards Act, otherwise such a clause will be unenforceable, and the employer may be exposed to a greater notice or severance requirement at common law-reasonable notice. The costs of litigation will always outweigh the costs of having an employment contract prepared.