Employment Contract

Define Roles, Set Standards: Create employment contracts to set expectations, set your business up for success, and foster strong relationships with your team.

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  • Employment Contract


    Jim Clark Co

  • Employment Contract

    Jim Clark Contractors

    Agreement

    This Employment Contract ("Agreement") is made and entered into on , by and between:


    Participants
    Terms

    1. Employment Term


    The Employee’s employment shall commence on  and shall continue until , unless terminated earlier pursuant to the provisions of this Agreement. If this is an ongoing position, check here:  At-Will Employment


    2. Position and Job Responsibilities


    The Employer hereby agrees to employ the Employee in the position of . The Employee agrees to perform all duties customarily associated with such position and any other duties reasonably assigned by the Employer. These duties include, but are not limited to:


    • 


    The Employee acknowledges that this Agreement creates an employer-employee relationship and is not a contract for independent contractor services.


    3. Work Schedule and Employment Status


    • Employment Status:  Full-Time  Part-Time  Temporary  Seasonal


    • Remote Work Permitted:  Yes  No  Hybrid


    • Regular Working Hours:  to , 


    • Time Off and Leave: Employee will be entitled to  paid vacation days per year,  sick days, and any applicable family or medical leave per federal/state law and company policy.


    • Employee must follow the company’s procedures for requesting leave, as outlined in the employee handbook or HR policies.


    4. Compensation and Benefits


    Salary/Wage: $ per  Hour  Week  Month  Year


    Payment Frequency:  Weekly  Bi-Weekly  Monthly


    Payment Method:  Direct Deposit  Check


    Benefits:  Health Insurance  Dental  Vision  401(k)  Other: 


    All compensation is subject to standard deductions and withholding as required by law.


    5. Confidentiality and Nondisclosure


    The Employee agrees to maintain the confidentiality of all proprietary and sensitive information obtained during the course of employment, including but not limited to trade secrets, client lists, business strategies, and internal communications. This obligation continues during and after the termination of employment.


    6. Technology Use Policy


    The Employee agrees to abide by the Employer’s policy on the use of company-owned technology and systems. Personal use of Employer equipment must be minimal and not interfere with job performance. Misuse may result in disciplinary action, including termination.


    7. Non-Solicitation / Non-Compete (If Applicable)


    If checked, the following restrictions apply:


     Non-Solicitation: Employee agrees not to solicit clients, customers, or employees of the Employer for a period of  after termination.


     Non-Compete: Employee agrees not to engage in competing business within  for a period of  after termination.


    8. Termination of Employment


    This Agreement may be terminated by either Party with [Number] days’ written notice. Grounds for immediate termination include gross misconduct, theft, breach of confidentiality, or other material breaches of this Agreement or company policy.


    9. Dispute Resolution


    In the event of a dispute, both parties agree to attempt informal resolution. If unresolved, the dispute shall be resolved through:

     Mediation

     Arbitration

     Litigation in a court of competent jurisdiction in the State of .


    10. Entire Agreement


    This Agreement constitutes the entire understanding between the Parties regarding the subject matter hereof and supersedes all prior negotiations and understandings. Any modification must be in writing and signed by both Parties.


    IN WITNESS WHEREOF, the Parties have executed this Agreement as of the Effective Date.

    Signatures
    • Click to sign
      John Doe
    • Click to sign
      Jim Clark
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Who Needs an Employment Contract?

 An employment contract spells out everything about the job, from duties, pay, rights, responsibilities, breaks, vacation leave, and sick leave. This keeps things clear and fair for everyone involved. Having a clear understanding of the employment contract right from the start helps everyone focus on their roles and work towards success together.

An employment contract is actually pretty important for both the employee and employers:

  • Employers: Employment contracts are the backbone of a winning team. They clearly outline employee responsibilities and protect confidential information, like inventions, customer lists, a good reputation, and more! Plus, spelling out expectations from the start avoids future disagreements. 
  • Employees: An employment contract tells employees their duties, how much they’ll get paid, and other perks like vacation days. It also protects things like scheduled hours and benefits, so the boss can’t randomly change them.

An employment contract gives both sides clarity and prevents potential problems. Resolving conflicts is much easier when both sides know the actual rules and lays the foundation for a smooth work relationship!

What to Include in an Employment Contract?

An employment contract needs to cover the following: 

  • Duties and Responsibilities: This section clearly outlines job duties and responsibilities, so everyone's on the same page from day one. No more guessing what's expected!
  • Start Date: This is the official first day of work!
  • Pay Day: This part details the salary and wages, along with how often the employee will be paid (weekly, bi-weekly, monthly—you get the idea!).
  • Work Hours & Location: This lists the expected work hours and primary work location. If there's any flexibility with remote work, that'll be spelled out here too.
  • Termination: This section explains how either party can terminate employment. It also covers notice periods and severance arrangements, so everyone knows what to expect if things don't work out.
  • Protecting the Business: This section might include clauses like non-compete (limiting future work with competitors), non-solicitation (preventing the employee from soliciting clients or colleagues), and confidentiality (keeping sensitive information safe). These help protect the company's interests.
  • Trial Period: In some contracts, there could be a trial period where employers check how well the employee is doing before deciding if they can stay on permanently.
  • Time Off: This section details vacation days, sick leave, and other types of paid time off. 
  • Benefits: Outline the details about additional benefits, like health care, disability insurance, or maternity leave. These can be real game-changers!

What are the Different Types of Employment Contracts?

  • Full-Time Employee: This contract offers standard work hours (40 hours a week) and a full benefits package.
  • Part-Time Employee: This contract is perfect for those who work fewer hours than a full-time employee; although the benefits package might be a bit lighter.
  • Seasonal Employee: This contract is perfect for filling positions needed during certain times of the year. 

IRS Requirements

The IRS has a few tax rules employers need to follow to keep everything legal. Here's the lowdown:

  • Form W-4: Your Tax Tune-Up: This form is for employees to inform their employers of their tax situation so the right amount of tax is deducted from their paychecks.
  • Form W-9: For Freelancers Only. This form is for people or companies working for a business that aren't regular employees. It asks them to give the business their tax ID number and sign that everything is correct. Companies use this form for independent contractors, like freelancers, instead of regular employees.

What is At-Will Employment?

In the US, most jobs are "at-will" which means it's a two-way street. You can walk away whenever you want, and the employer can let the worker go too, with or without reason (as long as that reason isn't against certain laws). It offers flexibility, but it also means job security isn't always guaranteed.

Create an Employment Contract With Butterscotch

Need somewhere to start for your employment contract? Simplify the process with Butterscotch's customizable templates! Here's why you'll love us:

  • Templates On Demand: Add the info you need, change whatever sections don't work, and make the template fit your needs. You can even personalize your contract by adding your personal branding.
  • Send with a Click: Forget printing, scanning, and mailing. Securely send contracts electronically!
  • Electronic Signatures: Get them signed with electronic signatures by all parties from anywhere.
  • Status Tracking: Monitor the status of every contract at a glance, from changes made and when another party has signed.
  • Centralized Storage: All your documents are securely stored in one digital location, accessible anytime, anywhere.

Employment Contracts

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Frequently Asked Questions

Answers to our most asked questions about employment contracts

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