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Yes, absolutely. Starting work without a signed contract means that your position isn't clear, or even worse it's weak. It provides a solid and concise foundation that will help you navigate the law and make sure that you are on the right side of it.
Statutory rights without contract of employmentYou and your employer can agree almost any express terms you like but neither of you can agree to a term that leaves you worse off than is provided for by the law (statute).
Legal issues happen when you have a breach of contract with the potential for litigation or legal accountability. Legal risks include compliance, dispute, and regulatory issues. Your legal risk could result from missing contract obligations, and compliance requirements such as OSHA, HIPAA, and HITECH.
Making changes to an employee's contract will, in most cases, require you to obtain the employee's consent. A failure to do this will normally result in a breach of contract. This is why it is so important to get employment law advice from a specialist.
Is it illegal to work without a contract? There is no legal requirement for an employee to have a written contract of employment. However, we would always recommend providing one for clarity and to protect your business.