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Avoid Making Employment Contract Mistakes With These Steps by newtohr.com

Avoid Making Employment Contract Mistakes with These Steps

Employment contracts can help to protect both the employer and employee. It ensures everyone knows what the terms of employment are, from how long the contract lasts to how much the employee will be paid. However, employment contracts are only useful if they’re written well. If you don’t know what you’re doing, you could make some big mistakes that make it difficult to protect your company when you need to.

By taking the right steps, you can avoid leaving out anything important or wording anything incorrectly when creating employment contracts. Follow the advice below to prevent costly mistakes in your contracts.

Be Sure to Draw Up Employment Contracts

The first thing that you should do is make sure you do create employment contracts. They might not be required, but they do create many protections that you wouldn’t have without them.

A contract creates a binding agreement that both employer and employee agree to so you know where both parties stand legally.

You need employment contracts if you want to make things clear and ensure everyone knows what’s what. You should have different contracts for each of your employees too. One blanket contract is unlikely to be suitable for all of your employees.

Know the Local Law

There are different laws about what can and can’t go into an employment contract in different states, so it’s vital to know the local laws. You should check what the law says about employment contracts in general, as well as some specific types of clause that might be included.

  • For example, what is the law in relation to non-compete causes or non-disclosure agreements?

Assuming that the law is the same everywhere or mistaking the rules in another state for those that apply to your business can lead to some big problems, so be sure to stay up to date.

Get Legal Help

It’s always useful to get professional help when you’re dealing with contracts.

Whether you need help drawing up new contracts, making changes to them or challenging someone when you think they have breached their contract, help from an attorney will make it easier to navigate the legal landscape.

When you choose a firm like Shakfeh Law, you can benefit from the help of contract experts. It’s always best to get legal advice from lawyers who have experience in the area that you need help with.

Not all lawyers are the same, so look for someone who knows what they’re doing.

Keep Contracts Up to Date

  • Employment contracts also need to be kept up to date. They need to be renewed once the term has come to an end, which might happen automatically if it’s written into the contract.
  • Contracts also need to be updated to reflect any changes in the law or negotiations that have taken place between the employee and employer. Be sure to review them regularly to keep them up to date.

Create solid employment contracts for your business and you can ensure both your business and employees have the right protections.


© New To HR

2 Comments
  • Gurudeva Kalledevarpurada B
    01/12/2019 at 14:35

    One of the companies in USA Kaiser Permanente IT (Part of “Kaiser Foundation Hospitals”) came to India in 2000, promised Greencard, US Citizenship, full-time employment in USA and relocated me from India to USA. These things were mentioned in the Employment Offer Letter, then they also gave brochures, books about the opportunities they offer, great city of Pasadena, Brochures for what cars to buy, what real estate to purchase etc. I started working in USA. Their manager, employees also made me buy car, condo (USD 317k on loan) in USA, they mentioned it would help in my greencard processing, assured that I would become an American Citizen and these things would help me in settling there. However, starting in 2002, their new CIO came in 2002, announced outsourcing, as well as asked us to provide TCS consultants and told it would not affect permanent employees. TCS consultants started pouring in from 2002-2004 and till 2006, what they started as 10-20 in 2002, became around 50-100 in USA and around 1000 in India and then once their KT completed in 2006, employer Kaiser stopped H1B extension for us. They did not get me the greencard/US citizenship as they had promised in employment contract. I had invested more than USD 150k in property, car, social security,401k,403b etc, entire earnings from 2000-2007 in these savings in USA. These kaiser folks told that they will rehire after some time. I came to India in 2008, since 2009 I am requesting for rehire. There is no response from them. First they asked me to come to USA through TCS which TCS offered. Then in 2017,2018 they asked me to attend a Healthcare conference, HR conference in USA. I attended, from there went to meet the KP IT HR in Pasadena where I worked earlier. However they did not rehire. They asked me to send an email to a HR executive, I sent the email and nothing happened. I came back to India. Now I am here with out a job since 2017 with all my money gone in the USA. Is it not wrong on the part of the employer (KP IT) to break the employment contract with out providing lay-off package, relocation back to India and compensating for the house, car they asked me to purchase and made me invest more than USD 150k ?? When they are so much forceful/persuasive in giving these assurances and making us these purchases, commitments, should they also not be so much forceful in following these employment contracts to the letter ?? If they were a good employer either they should not have announced outsourcing before we got our greencard, they should not have pressurized me to purchase house in USA till after I got my greencard,they should have kept me on employment till I got my greencard or they should have referred me to another employer and got the greencard. Is it not a violation of ethics, contract, morales ?? What are they ways they can and they should fix their blunders ??

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