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Things you may find in an employment contract

In today's world, most employers understand the importance of an employment contract. This ensures that both sides are on the same page from the start. It also provides protection to both parties.

Before you sign an employment contract, it's critical to thoroughly review it from start to finish. Furthermore, if you don't understand something, ask for clarification.

While every employment contract is different, here are some things you're likely to find:

  • Information on job responsibilities: This ranges from the job title to daily responsibilities to the person you'll report to. Make sure the responsibilities align with what you discussed during the interview process.
  • Compensation and benefits: For most, this section attracts a lot of attention. All key details should be included here, such as salary or hourly rate, types of benefits, raises, bonuses, commission payments and incentives.
  • Time off: This is where you'll find information on the company's vacation and sick time policy. It should go beyond the basics, such as providing information on whether your vacation days increase with tenure and if you can carry them over from year to year.
  • Confidentiality agreement: It's not included in every employment contract, but there's a good chance you'll come across it. This helps the employer protect sensitive data.
  • Termination conditions: Information on what's required for you or your employer to terminate the contract. For example, it may state that both parties should give two weeks notice. It may also have language about any requirements after termination, such as equipment you must return and when you'll receive final payment.

With so much excitement surrounding your new position, it's easy to overlook the finer details of an employment contract. Instead, you sign your name, store your copy in a safe place and hope you never have to read it again.

As excited as you may be, it's critical to carefully review your employment contract and ask for clarification on any confusing points.

Even with a contract in place, you may find yourself at odds with your employer if your employment is terminated. This is a good time to review your contract, discuss your situation with the HR department and learn more about your legal rights in New Jersey.

Visit our website for more information on employment law issues, including those associated with employment contracts and wrongful termination.

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