How to Avoid Legal Issues in Employee Contracts

image_pdfimage_print

Tips for Working with a Labor Attorney

CommPRO Editorial Staff

Hiring employees is a long and often difficult process that can make or break your business. Not only do you have to source the right type of person for your business, with the right qualifications, attitude, and skills but you also have to work out what kind of contract works for both them and the business. This can be a tricky task and without the right advice you may end up making a mistake further down the line. This article will give you a brief insight into some of the things you can do to combat this. 

Labor Attorneys 

Fortunately for you, there are plenty of professionals out there that can help you tie down the legal aspect of any employment contract. Using a labor attorney can ensure that you are not leaving yourself open to exploitation whilst also protecting your worker’s rights. Labor attorneys can collect information and research for the roles you are advertising, ensuring they are competitive with similar positions in other companies, prepare documentation and provide advice for you when conducting negotiations or settlements. This can take a huge weight off of your shoulders knowing that your employment contracts are all taken care of. 

Employee Contracts

These can go by many names but are essentially agreements made between your business and your potential employee that spell out in a legally binding document the terms of their employment. It will consist of the rights of the employee and business, the role and responsibilities of the employee, and the obligation that you both have to each other. They are often signed by both parties to ensure that everyone agrees before committing to the role. 

What should be included

Depending on the role and the level of experience of the candidate, this will vary. However, there are usually items that always appear in contracts. These include things like the length of employment, the responsibilities of the employee, any benefits that the company will provide such as sick days and vacation periods, and grounds for termination. In more complex cases, such as in a creative or scientific field, ownership agreements should be formalized to prevent legal action in the future. 

What should not be included

Certain items should always be avoided when drafting up an agreement. Things like Job Duration can minimize your right to fire an employee and can mean that even if you part ways, you are obliged to pay the full contract. Also, you should not have finite reasons for termination. This can lead to wrongful firing cases that can cost major amounts of money. 

Why do them?

One of the main advantages of employee contracts is that it provides security and benefits for your best employees. This means that you are more likely to retain them. You can also input non-disclosure agreements in your contracts to ensure your secrets remain with the company. As well as this, they give you a foundation of management for your employees. Having one document that you can call back on is handy when it comes to terminations and promotions. Just make sure that it is legally up to scratch.