All of the paperwork that goes into a new person entering a business seems overwhelming. However, the two most important documents among all of the possible options are employment contracts and non-disclosure agreements. What exactly goes into those documents though? Whether you are a new employee or a business owner, it is important to know what exactly NDAs and employment contracts contain.
The state of Florida does not technically require employment contracts. However, operating without an employment contract is a rather dicey path to walk. No matter how unnecessary an employment contract feels, they are a completely necessary buffer. The contracts are especially important for dealing with larger organizations, like the IRS and Worker’s Comp.
What Needs To Go Into Employment Contracts?
First and foremost, employment contracts must identify everyone who is relevant to the contract. Most important on that list is the company doing the hiring and the person being hired. Additional people, such as the new employees’ manager or department supervisor also qualify to be listed. However, they are by no means necessary.
What type of employee the new hire qualifies as is another important factor to include? Are they full-time or part-time? Do they qualify as a seasonal employee? Is there a time limit on the job that they are completing? The simple answer lists exactly when the hire is expected to work. For example, “Monday through Friday, eight hours a day” or “two days a week from 9 a.m. to 3 p.m.”
There are quite a few additional components to include as well.
- Employee responsibilities
- Expectations about professional licenses and certifications
- Employment benefits, this includes what the salary, pay per hour, or other form of payment is
- Termination of the contract
Non-disclosure agreements or no compete agreements are increasing in use in the professional space. They make many employees wary, and that is a totally fair reaction. However, most NDAs and non-competes are there for valid reasons.
While these types of documents certainly do protect the company and its company, they also protect something much more important. Clients and their information need to be protected. Privacy documents ensure that if an employee or ex-employee does share client information publicly or with other companies, they will face legal repercussions.
Other things that privacy documents protect:
- Survey or poll results
- Intellectual property
- Customer lists and contact information
- Technological developments
- Equipment components
- Logins and passwords
- Technical information
A good privacy document outlines exactly what employees are and aren’t allowed to share, when they can share it, and who they can share it with. Using specific parameters, corporations protect their most valuable assets while simultaneously permitting their employees to network within their chosen field.