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What should be included in an employment contract?

On Behalf of | Sep 12, 2018 | business law, Firm News |

A business in Louisiana may only be as good as the people who work for it. Businesses have an interest in hiring the right people and retaining them so that they may help the companies grow and prosper. Getting a good interviewee to agree to a position with a business can begin with preparing a solid employment contract. There are employment contract terms that are specific to particular industries, but an overview of terms that should usually be included in most employment contracts and that business law attorneys can help their clients incorporate into their hiring documents can help companies in Louisiana.

First, employment contracts should clearly outline the compensation that the employee will receive if hired into the company. If the employee may receive certain work-related benefits, such as access to health insurance or retirement investing, those terms should also be included therein.

Second, a contract for employment should stipulate the type of employment that the person will assume when hired. Some individuals are considered at-will employees, which means that they can choose to leave their jobs on their own terms, but may also be let go at the will of their employer. Expectations regarding the status of an employee should be made explicit in employment agreements.

Third, a business may wish to include terms regarding the development of business-related products or ideas by their employees in their employment contracts. For example, if an employee creates a new method of creating the employer’s product, the employer may state in the employment contract that the company, and not the employee, owns the rights to the method.

These are only a few of the types of terms employers should consider including in their employment agreements. It is important that business law attorneys are involved in the development of employment agreements to protect business interests and help companies hire the best possible workers.