how you make a Draft a Contract

Draft an employment contract using plain language and avoiding legal jargon. The essentials of an employment contract are set out in Figure 20.2 reproduced for ease of reference.

Figure 20.2

Essential Content of an Employment Contract

An employment contract should contain the following information:

names of the parties

date on which the contract begins

position and description of the work to be performed

compensation (i.e., salary, wages, bonuses)

benefits (i.e., vacation, vacation pay, health and dental plans, pensions, etc.)

probation period, if any

duration of the contract, if any

evaluation and discipline procedures

company policies or reference to employee policy manual

termination provisions (i.e., cause for dismissal, notice of termination, severance package)

recital of management rights (i.e., employer has a right to make changes to job duties and responsibilities)

confidentiality clause, if appropriate

ownership of intellectual property, if appropriate

restrictive covenants, if any

"entire agreement" clause (i.e., the written contract contains the whole agreement)