employer

Employer: An employer is the authority which employs and pays employees for their labor. It may be an individual person or it may be a company representing many people. Within the relationship between employers and their employees, the employer is the party which will typically define the terms of employment and write the contract. They are then obligated to provide the agreed-upon compensation to workers for any labor they perform that is contained within the terms of their contract. An employer is also the party legally liable for work conditions, maintaining labor laws and handling any legal action an employee may pursue.

Related Terms

• employee benefits
• direct compensation

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