Employment contracts in the UK are often presented as standard or non-negotiable. Many are neither. Knowing which clauses represent genuine red flags — and which are normal commercial terms — gives you the information you need to ask the right questions before you sign.
A Non-Compete Clause That Is Wider Than Your Role
Post-termination non-compete clauses are only enforceable in the UK if they protect a legitimate business interest and are no wider than necessary. A clause that covers your entire industry, or lasts longer than twelve months, is frequently challenged and often struck down by courts.
What to watch for: geographic scope wider than the markets you actually worked in; duration exceeding 6–12 months; a definition of "competing business" so broad it captures adjacent industries you have never touched.
Garden Leave Tied to the Full Notice Period
Garden leave — being paid your salary while prevented from working for a competitor during your notice period — is a legitimate tool. But if your notice period is twelve months and the employer can put you on garden leave for the full period, you may effectively be frozen out of your industry for a year.
An enforceable non-compete then added on top of that notice period compounds the restriction significantly. Check whether non-compete duration runs from the end of employment or from the end of garden leave.
An IP Assignment Clause That Covers Your Personal Projects
Many employment contracts assign to the employer all intellectual property created by the employee, using language such as "all works, inventions or developments made during the course of employment". Under s.39 Patents Act 1977 and general principles, an employer can claim IP that belongs to their field of business even if created outside working hours.
A clause that goes further — claiming ownership of IP with no connection to your role — is disproportionate. Look for: "arising from" or "related to" the employer's business (wide); versus "created in the course of your duties" (narrower and more defensible).
A Unilateral Variation Clause With No Limits
Some contracts contain a clause allowing the employer to change any term — including salary, location, working hours, or job title — at their sole discretion. While courts imply a term that such changes must be exercised reasonably, an open-ended variation clause creates significant uncertainty.
A proportionate variation clause identifies specific terms that can be changed, requires reasonable notice, and perhaps limits changes to those operationally necessary rather than commercially convenient.
Non-Solicitation Clauses With No Legitimate Business Interest
Non-solicitation clauses prevent you from approaching the employer's clients or staff after you leave. They are enforceable if they protect genuine client relationships you developed during your employment — not if they attempt to prevent you approaching clients you never dealt with, or from working in your profession at all.
Flag: a non-solicitation clause that covers all clients of the business regardless of your involvement, or that prevents former colleagues from contacting you.
Deductions From Wages for Training or Relocation Costs
Many employers include provisions allowing them to recover training course fees, professional qualification costs, or relocation expenses from your salary if you leave within a specified period. These "claw-back" clauses can be legitimate, but watch for:
— No cap on the amount deductible from a single salary payment
— Deductions that might breach the National Minimum Wage in a low-paying period
— Clawback of training that primarily benefited the employer, not you as an employee
An Entire Agreement Clause That Extinguishes Pre-Contract Promises
Entire agreement clauses state that the written contract represents the full agreement between the parties, superseding all prior discussions, representations, and promises. If you accepted a job based on specific promises about a bonus, flexible working, or promotion pathway that are not in the written contract, an entire agreement clause may prevent you relying on those promises.
Get important commitments in writing before signing. If the employer refuses, that is itself informative.
A Flexible Working or Location Clause With Unlimited Mobility
In an era of remote working, contracts increasingly include clauses requiring employees to work from any location the employer specifies, sometimes including overseas. Without geographic limits or a clear definition of what travel is reasonable, this clause can become a means of constructive dismissal pressure.
Check: is there a specified primary place of work? Is the mobility clause limited to locations within reasonable commuting distance? Is there a requirement for advance notice?
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