When it comes to hiring new employees, having a clear and concise employee contract is a must. A well-written contract can ensure that both the employee and employer are on the same page and can help prevent any misunderstandings or legal disputes down the line.
To help you create an effective employee contract, we’ve put together a sample that you can use as a starting point. Keep in mind that this is just a template and may need to be customized to fit the specific needs of your company and the role you are hiring for.
Employee Contract Sample
This Employee Contract (“Agreement”) is made and entered into on [insert date] by and between [insert employer name], a [insert state] corporation with its principal place of business located at [insert address] (“Employer”) and [insert employee name], with an address at [insert address] (“Employee”).
The Employer agrees to employ the Employee in the position of [insert job title] (“Position”), and the Employee agrees to accept such employment, subject to the terms and conditions set forth in this Agreement.
2. Duration of Employment
The Employee’s employment will begin on [insert start date] and will continue until terminated by either party. This Agreement may be terminated by the Employer with or without cause, and by the Employee for any reason or no reason, with written notice to the Employer.
The Employer will pay the Employee a base salary of [insert salary amount] per year, payable in [insert frequency] installments. The Employee’s salary may be adjusted by the Employer from time to time, in its sole discretion.
The Employee will be eligible for the following benefits:
a. [Insert benefit 1]
b. [Insert benefit 2]
c. [Insert benefit 3]
The Employer reserves the right to modify or terminate any benefits at any time, in its sole discretion.
The Employer may terminate the Employee’s employment with or without cause at any time, and the Employee may resign with written notice to the Employer. Upon termination of employment, the Employee will be entitled to receive any earned but unpaid salary and any vested benefits.
6. Confidentiality and Non-Competition
The Employee agrees to maintain the confidentiality of all non-public information regarding the Employer and its business, both during and after employment. The Employee also agrees not to compete with the Employer, directly or indirectly, during the term of employment and for a period of [insert time period] after termination of employment.
7. Governing Law
This Agreement will be governed by and construed in accordance with the laws of [insert state], without regard to its conflicts of law provisions.
8. Entire Agreement
This Agreement contains the entire agreement between the parties and supersedes all prior agreements and understandings, whether written or oral, relating to the employment of the Employee by the Employer.
No amendment, modification, or waiver of any provision of this Agreement will be effective unless in writing and signed by the parties. If any provision of this Agreement is held to be invalid or unenforceable, the remaining provisions will remain in full force and effect.
A well-crafted employee contract can benefit both the employer and employee by providing clear expectations and terms of employment. While this sample can serve as a useful starting point, it should be customized to fit the specific needs of your company and industry.
When in doubt, it’s always a good idea to seek the advice of an attorney or HR specialist to ensure that your employee contract is legally sound and protects the interests of both parties.