Employer Contract

Growing in popularity, an employer contract is a unique agreement designed to protect both employer and employee for the duration of the relationship. The employer contract is presented to the employee during the hiring process. The contract typically entails the basics of the relationship including salary, health benefits, sick leave, holiday pay, overtime stipulations, stock options, pension plan details, and other retirement plan options. An employer contract might also include a non-disclosure agreement that forbids the employee from sharing company secrets. An employer contract is generally drafted by an attorney. However, it is possible for an employer to develop a contract based on a template contract. Templates can be found free of charge on the Internet. In the United States, there are no guidelines or laws concerning employer/employee contracts.

Fast Facts

  • An employer contract often entails the job duties of the employee.
  • Most employer contracts include a section regarding choice of law. In this section, the employer and employee agree that if there is a dispute that involved a lawsuit, the case will be governed by the laws of a predetermined state.

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