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Simon Obee from Employment Innovations discusses free downloadable employment contract templates for Australian businesses. The templates cover full-time, part-time, and casual employees. Having an employment contract ensures clarity regarding terms and conditions of employment, such as employee status (permanent or casual), work hours, overtime pay entitlements, notice periods for termination, and modern award coverage, including employee classification. Employers are required to provide this information in writing, emphasizing the importance of formal contracts to avoid misunderstandings and ensure compliance.