This essay provides a comprehensive overview of employment contracts, detailing their structure, function, and legal implications. It begins by introducing the concept of employment contracts as essential instruments regulating the relationship between employers and employees, outlining key components such as working hours, wages, and leave provisions. The essay emphasizes that these contracts, while not statutorily mandated, operate under the principles of general contract law, particularly in Australia. It explores the criteria for employment agreements, including the influence of common law and regulations like the Fair Work Act 2009, highlighting the objective of protecting employee interests and providing flexibility. The essay also addresses the limitations of employment contracts, such as inflexibility in employment terms and potential issues with poorly drafted contracts. Finally, it includes a case law example, McIntyre v Special Broadcasting Services Corporation, to illustrate the application of employment contract terms in legal disputes, emphasizing the importance of maintaining contract terms and employee rights. The essay concludes by underscoring the importance of employment contracts while advocating for flexibility to safeguard employee interests.