If you get a 5 year cos ,you have to apply for a 5 year visa. You can choose a shorter length.
How long your employer issues a cos for is their choice/decision.
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No.Is there any implication for my ILR having this 2 day's gap, even if it is a weekend?
No.does expiry/renew of passport affect/invalidate my ILR?
No.Is there anything I need to do after renewing/getting a new passport?
ILR is lost if you are absent for 2 or more years. Plan accordingly.By when should I get back to UK so that I do not have any issues with my entry?