CONTRACTUAL CLAUSES CASE

Contractual clauses - Colocfarm S. L.

The company “Colocfarm, S.L.” has 80 employees distributed in different sections like investigation, production and administration.

A few months ago Mrs. Margarita Tres Pétalos was contracted as CEO, and this change has carried some news in the way to organize the work.

Production employees have received a letter from the CEO where they are told to go to a congress where there will be farm industry production training talks, and will take place the next 8th and 9th of may, during weekend, without any extra pay right.

In the other hand, from express command from Mrs. Tres Pétalos, a new annual calendar has been hanged on the company announcement board so that the employees told when their vacations will take place. The new calendar offer two periods of vacations: from 15th to 30th august, and from 1th to 17th october.

By last, and following the line of modifications that the new CEO is introducing, she wants a meeting with you, as HR Director or Colocfarm, to ask you something that she worries about:

Mrs. Tres Pétalos has noticed that a group of chemists from the investigation departament have been working for months in a new invented medicine, which is in its final stage, and once finished will suppose a revolution in the farm industry. In front of this imminent fact she has checked the work contracts of these chemists employees and she has noticed alarmed that they are standard contracts. without any specific contractual clause.

Moreover, the CEO has heard rumors that a group of them is considering to leave the company with the intention to create their own one, develop and commercialize this new medicine.

With this information you have to give answer to the following questions:

  • Can the company force to their employees to assist to the training congress outside their journey? Please, reason why and how either if the answer is yes or no.

 

  • About the vacation calendar that the company has hanged on the announcing board, some employees have complained because there is no possibility for them to enjoy all their vacations uninterrupted. Can the company force to enjoy a discontinued vacations?

 

  • After the CEO meeting, ¿what kind of clauses you believe that could avoid that a group of employees could leave in bloc to become Colocfarm competence? Value the problem from all points of view and answer if the company is in time to force new clauses.