The HR Outsourcing Contract Agreement is designed for organizations seeking to delegate their human resources functions to specialized external providers in England and Wales. This contract type is particularly relevant when companies aim to optimize HR operations, reduce costs, or access specialized expertise. The agreement encompasses comprehensive provisions for service delivery, compliance with UK employment laws, data protection requirements, and performance standards. It's essential for establishing clear responsibilities, service levels, and protecting both parties' interests while ensuring regulatory compliance.
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1. Parties: Details of the service provider and client organization
2. Background: Context of the agreement and business relationship
3. Definitions: Key terms used throughout the agreement
4. Scope of Services: Detailed description of HR services to be provided
5. Term and Termination: Duration of agreement and termination provisions
6. Service Provider Obligations: Key responsibilities and deliverables of the HR service provider
7. Client Obligations: Client responsibilities and requirements for enabling service delivery
8. Data Protection and Confidentiality: Information handling and security requirements in compliance with UK GDPR
9. Fees and Payment: Pricing, payment terms and conditions for services rendered
10. Liability and Indemnification: Allocation of risks and responsibilities between parties
11. Force Majeure: Provisions for handling circumstances beyond reasonable control
12. Governing Law and Jurisdiction: Specification of English and Welsh law as governing law and jurisdiction
1. TUPE Provisions: Detailed provisions for staff transfers under TUPE regulations, required when employees are being transferred between organizations
2. International Services: Additional provisions for cross-border HR services when services span multiple jurisdictions
3. Performance Metrics: Specific KPIs and service levels for detailed performance monitoring in larger contracts
4. Compliance with Modern Slavery Act: Additional provisions regarding modern slavery compliance, required for larger organizations
5. Change Control: Formal procedures for managing changes to services or contract terms, recommended for complex or long-term contracts
1. Schedule 1: Service Description: Detailed breakdown of HR services to be provided including specific deliverables and methodologies
2. Schedule 2: Service Levels: Performance standards, metrics and measurement methodologies
3. Schedule 3: Charges: Detailed pricing structure, payment terms and any variable cost elements
4. Schedule 4: Data Processing Agreement: Detailed data protection obligations and procedures in compliance with UK GDPR
5. Schedule 5: Key Personnel: Details of key staff involved in service delivery and their roles
6. Schedule 6: Exit Management: Procedures for contract termination and service transition
7. Appendix A: Information Security Requirements: Specific security protocols, standards and compliance requirements
8. Appendix B: Required Reports: Templates and specifications for required reporting and performance monitoring
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