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What to include in an employment contract

| Jun 11, 2019 | business law

When hiring and firing professionals is part of your job description in Indiana, chances are, you want to simplify the process and make sure to look out for your employer’s, or your business’s, best interests. One way to do this is to rely on a carefully worded employment contract. At Katzman & Katzman, P.C. we recognize that a meticulously drafted employment contract can protect your business or that of your employer in the event that an employer-employee relationship does not work out. Similarly, we understand that there are certain common areas that a strong employment contract ought to address.

According to Inc., one of the key things to remember when drafting your employment contract is that, while protecting your business is important, so, too, is extending certain protections to the employee. Otherwise, you run the risk of alienating your potential hire and scaring him or her off before he or she even sets foot in the door.

With that in mind, one of the first areas you will want to cover in your employment contract is the expectations of the employee with regard to day-to-day duties and how you plan to pay this person for work performed. On the opposite end of the spectrum, your employment contract should address what types of actions might be cause for termination, and you should, too, address any severance packages you plan to offer, should you part ways with your new hire.

Most employment contracts also include noncompete clauses, which are essentially sections that set guidelines with regard to what your employee can do professionally in the event that he or she ceases working for you. You can find out more about business law by visiting our webpage.