Smarter Employment Contracts
What should be included in an Employment contract to protect your company's interests?
Introduction
It is commonsense that a person would not buy a house for $500,000 without first checking the contract.
It is quite puzzling then that many employers are so relaxed about their employment contracts that they do not give them proper consideration. If a person is employed for $90,000 per annum plus super and they are employed for 5 years, that is a $500,000 investment made by the company. A properly worded contract is merited.
The benefit of spending time getting the contract right is obvious given the significant damages that may be payable if the employment contract goes sour.
For business with important marketing and trade secrets, employment contracts may be used to restrain an employee from damaging the business post-employment by way of carefully worded confidentiality and anti-competitive clauses.
There are other benefits to having properly worded employment contracts. Most importantly, a properly worded employment contract provides comfort to both employer and employee as it sets out clear expectations. Where conflict does arise, a properly worded contract will make careful provision for resolving such disputes without having to take the matter to court.
At Atkinson Vinden we believe it is worth spending the time drafting high quality employment contracts. Once an employer has taken the trouble of preparing a carefully worded employment contract that contract can be replicated and used for new staff that later commence with the company.
Contract Audit
Your company may benefit from an employment contract audit. Atkinson Vinden provides a service whereby we review your employment contracts and provide you with specific feedback and guidance as to how they can be tightened to protect your company's interests. If you are interested in this service, please do not hesitate to contact Ann Mary Edwards, Rod Berry or Teresa Dodaro, Employment Lawyers, at Atkinson Vinden on (02) 9411 4466.
