<PAGE>


                                                                    Exhibit 10.7


                              PRI AUTOMATION, INC.
                              EMPLOYMENT AGREEMENT


         This Agreement is dated as of July 5, 2001 and is by and between
Mordechai Wiesler of 4 John Benson Road, Lexington, Massachusetts 02173 (the
"Employee") and PRI Automation Inc., a Massachusetts corporation, with its
principal offices at 805 Middlesex Turnpike, Billerica, Massachusetts 01821 (the
"Company").

         In consideration of the mutual covenants and agreements herein
contained, the parties hereto agree as follows:

         1. EMPLOYMENT STATUS. The Employee shall be an employee "at will" and
the Employee or the Company may terminate the Employee's employment at any time,
with or without reason. The consequences of any such termination shall be as set
forth in Section 7 hereof.

         2. SCOPE OF EMPLOYMENT. The Company hereby agrees to employ the
Employee as its Chairman of the Board of Directors and the Employee hereby
accepts such employment, on the terms and conditions set forth in this
Agreement.

                  a. The Employee shall perform such duties and functions
         related to executive business decisions and technology issues in
         support of the Chief Executive Officer and with the direction of the
         Board of Directors of the Company consistent with the duties that he is
         now performing for the Company. The Employee shall comply in the
         performance of such duties with the policies of, the Chief Executive
         Officer and/or the Board of Directors, but only to the extent that such
         policies do not lessen or conflict with Employee's rights hereunder.

                  b. The Employee agrees that during such employment he will
         devote a portion of his business time, attention and energies to the
         business and interests of the Company for an average of 20 Hours per
         week, and will faithfully, competently and to the best of his skill and
         ability serve in the foregoing position and in such other capacity or
         capacities as he may occupy with the Company from time to time. The
         Employee shall perform his services at the Company's principal office
         or at any other location convenient to the Employee.

                  c. The Employee agrees to abide by the rules, regulations,
         instructions, personnel practices and policies of the Company and any
         changes therein which may be adopted from time to time by the Company.

         3. SALARY. The Company shall pay the Employee a salary at the annual
rate of One Hundred Thousand Dollars ($100,000), in arrears in substantially
equal installments not less frequently than twice monthly (the "Base Salary").

<PAGE>


         4. EXPENSES. The Company shall reimburse the Employee for all
reasonable travel, entertainment and business expenses incurred by him in
connection with his duties hereunder, provided that the Employee submits to the
Company receipts or other documentation pursuant to the policies of the Company.

         5. BENEFITS. The Employee shall be entitled to participate in or
receive benefits under the Company's employee benefit plans and policies in
effect from time to time for comparable employees, subject to the applicable
terms and conditions of the particular benefit plan. The Company may change,
amend, modify or terminate any benefit plan from time to time but in no event
shall employee's benefits be diminished from those now in effect for comparable
employees. Such benefits shall include, without limitation, medical insurance,
life insurance and retirement benefits.

         6. OPTIONS. The Employee shall be entitled to participate in the
Company's currently existing stock option plans at a level and under terms
consistent with those applicable to non-employee directors of the Company (the
"Option Plan").

         7. TERMINATION. Upon termination of Employee's employment hereunder,
Employee's rights and entitlements shall be determined in accordance with the
following provisions.

                  (a) FOR CAUSE BY THE COMPANY. The provisions of this Section
         7(a) shall apply in the event that Employee's employment hereunder is
         terminated by the Company for "Cause". For purposes of this Agreement,
         "Cause" shall mean (i) Employee's willful and continued failure
         substantially to perform his duties hereunder (other than as a result
         of total or partial incapacity due to physical or mental illness), (ii)
         the willful commission by Employee of acts that are dishonest and
         demonstrably injurious to the Company, or (iii) an act or acts on
         Employee's part constituting a felony under the laws of the United
         States or any state thereof.

                  If Employee is terminated for Cause, he shall be entitled to
         receive his Base Salary through the date of termination. All other
         benefits due Employee following Employee's termination of employment
         pursuant to this Section 7(a) shall be determined in accordance with
         the plans, policies and practices of the Company at the time of such
         termination.

                   Termination for Cause shall be effected by a written notice
         that includes a copy of a resolution duly adopted by the affirmative
         vote of not less than a majority of the entire membership of the Board
         at a meeting of the Board called and held for that purpose (after
         reasonable notice to Employee and reasonable opportunity for Employee,
         together with Employee's counsel, to be heard before the Board prior to
         such vote), finding that in the good faith opinion of the Board that an
         event constituting Cause for termination in accordance with this
         Section 7(a) has occurred and specifying the particulars thereof in
         detail.


                                       2
<PAGE>


                  (b) DISABILITY. The provisions of this Section 7(b) shall
         apply in the event that Employee's employment terminates on account of
         "Disability". For purposes of this Agreement, "Disability" shall mean
         Employee's physical or mental incapacity, which results in his
         inability to perform his duties for a period of six (6) consecutive
         months. Any question as to the existence of the Disability of Employee
         as to which Employee and the Company cannot agree, shall be determined
         in writing by a qualified independent physician mutually acceptable to
         Employee and the Company.

                  In the event of the Disability of Employee, the Company may
         terminate the employment of Employee by delivery of a notice of
         termination to the Employee which notice shall be effective not less
         than thirty (30) days after delivery thereof. Upon termination of
         Employee's employment hereunder as a result of Disability, Employee
         shall receive his Base Salary for a period of six (6) months following
         such termination. Any payments provided for in this Section 7(b) shall
         be offset (but not below zero) by any payment of disability benefits in
         lieu of Base Salary received by Employee under the Company's employee
         benefit plans as then in effect. In addition, all options or other
         awards previously granted by the Company shall continue to vest during
         the period of salary payments.

                  (c) DEATH. Upon termination of Employee's employment hereunder
         as a result of Employee's death, Employee's estate shall be entitled to
         receive his Base Salary through the date of termination. All other
         benefits due Employee following Employee's termination of employment
         pursuant to Section 7(a) shall be determined in accordance with the
         plans, policies and practices of the Company at the time of such
         termination. Thereafter, the Company shall, except as provided in
         subsection (g) hereof, have no further obligation to compensate
         Employee under this Agreement.

                  (d) WITHOUT CAUSE BY THE COMPANY. If Employee's employment is
         terminated by the Company without "Cause" (other than by reason of
         Disability or death), Employee shall receive, as promptly as
         practicable following such termination, but in any event not later than
         ten (10) business days following such termination, a lump sum payment
         in cash equal to the sum of:

                           (i) if not theretofore paid, the Employee's Base
         Salary through the date of termination at the rate in effect on the
         date of termination or, if higher, at the highest rate in effect at any
         time within the 90-day period preceding the date of this Agreement;

                           (ii)  a severance payment of One Hundred Thousand
         Dollars ($100,000); and

                           (iii) in the case of compensation previously deferred
         by the Employee, if any, all amounts of such compensation previously
         deferred and not yet paid by the Company.


                                       3
<PAGE>


         In addition, all options or other awards issued under the Option Plan
         shall become fully vested and exercisable as of the date of
         Termination.

                  (e) FOR GOOD REASON BY EMPLOYEE. The provisions of this
         Section 7(e) shall apply in the event that the Employee terminates his
         employment with the Company for "Good Reason". For purposes of this
         Agreement, "Good Reason" means (without Employee's express prior
         written consent):

                           (i) The assignment to Employee by the Company of
         duties inconsistent with Employee's positions, duties,
         responsibilities, titles or offices, or any removal of Employee from or
         any failure to re-elect Employee to any of such positions, except in
         connection with the termination of Employee's employment for Cause,
         Disability, or as a result of Employee's death or by Employee other
         than for Good Reason;

                           (ii) A reduction by the Company in Employee's Base
         Salary as in effect at the date of this Agreement, as the same may be
         increased during the Term of this Agreement;

                           (iii) A relocation of the Company's principal
         executives offices to a location outside of the metropolitan Boston,
         Massachusetts area or the Company's requiring Employee to be based
         anywhere other than its current location in Billerica, Massachusetts,
         except for required travel on the Company's business to an extent
         substantially consistent with Employee's business travel obligations at
         the date of this Agreement, or any material reduction or adverse change
         in the emoluments or perquisites of office provided to the Employee at
         the date of this Agreement;

                           (iv) A failure by the Company to continue in effect
         fringe benefits and benefit or compensation plans (including any profit
         sharing, bonus, life insurance, health, stock option, accidental death
         or dismemberment or disability plan) with terms which in the aggregate
         are as favorable as those fringe benefits and plans to which Employee
         is entitled or in which Employee is participating, as the case may be,
         at the date of this Agreement (or in the case of fringe benefits or
         plans granted or adopted, as the case may be, after the date hereof and
         providing a type of benefit not provided by the Company at the date of
         this Agreement, at the respective dates of grant or adoption of such
         fringe benefits or plans); or

                           (v) The failure by the Company to obtain the specific
         assumption of this Agreement by any successor or assignee of the
         Company or any person acquiring a substantial portion of the assets of
         the Company, or, following any such assumption, assignment or
         acquisition by an entity other than an affiliate of the Company, the
         occurrence of any event that Employee reasonably believes will impair
         his rights under this Agreement.


                                       4
<PAGE>


         If Employee terminates his employment for "Good Reason", Employee shall
be entitled to the same payments he would have received if his employment had
been terminated by the Company without "Cause".

                  (f) WITHOUT GOOD REASON BY EMPLOYEE. If Employee voluntarily
         terminates his employment with the Company for any reason other than
         "Good Reason", Employee shall be entitled to the payments and benefits
         provided to executive employees according to the Company's retirement
         plan in existence at the time of termination.

                  (g) CONTINUATION OF BENEFITS. Upon the termination of
         Employee's employment other than as a result of death or for Cause, in
         addition to any other amounts due hereunder, the Company shall provide
         Employee with a continuation of those benefits to which Employee is
         entitled hereunder for a period of twelve (12) months.

                  (h) NOTICE OF TERMINATION. Any purported termination of
         employment by the Company or by Employee shall not be effective until
         communicated by written notice of termination to the other party. For
         purposes of this Agreement, a "notice of termination" shall mean a
         notice which shall indicate the specific termination provision in this
         Agreement relied upon; shall set forth in reasonable detail the facts
         and circumstances claimed to provide a basis for termination of
         employment under the provision so indicated; and, in the case of
         termination by the Company for Cause, shall conform to the requirements
         of Section 7(a) above.

         8. MISCELLANEOUS.

                  (a) This Agreement supersedes all prior agreements, written or
         oral, between the Employee and the Company relating to the subject
         matter hereof. Notwithstanding the foregoing, the Employee and the
         Company acknowledge that the Retention Agreement, dated as of
         ______________, and the Confidentiality, Invention, and Non-Competition
         Agreement, dated as of _________________ between the Employee and the
         Company, copies of which are attached hereto as Exhibit "A", remain in
         full force and effect. This Agreement may not be modified, changed or
         discharged in whole or in part, except by an agreement in writing
         signed by the Employee and on behalf of the Company.

                  (b) NO WAIVER. The failure of a party to insist upon strict
         adherence to any term of this Agreement on any occasion shall not be
         considered a waiver of such party's rights or deprive such party of the
         right thereafter to insist upon strict adherence to that term or any
         other term of this Agreement.

                  (c) SEVERABILITY. In the event that any one or more of the
         provisions of this Agreement shall be or become invalid, illegal or
         unenforceable in any respect,


                                       5
<PAGE>


         the validity, legality and enforceability of the remaining provisions
         of this Agreement shall not be affected thereby.

                  (d) ASSIGNMENT. This Agreement shall not be assignable by
         Executive or by the Company.

                   (e) ARBITRATION. Except where equitable relief is sought, any
         dispute, controversy or claim arising out of or relating to this
         Agreement, or the breach hereof, shall be settled by arbitration in
         accordance with the rules of the American Arbitration Association by a
         single arbitrator. The Arbitrator shall be an individual familiar with
         the industry. The arbitrator's award shall be final and binding upon
         both parties, and judgment upon the award may be entered in any court
         of competent jurisdiction in any state of the United States or country
         or application may be made to such court for a judicial acceptance of
         the award and an enforcement as the law of such jurisdiction may
         require or allow.

                  (f) This Agreement shall inure to the benefit of and be
         binding upon personal or legal representatives, executors,
         administrators, successors, heirs, distributees, devisees and legatees.
         If Executive should die while any amount would still be payable to
         Executive hereunder if Executive had continued to live, all such
         amounts, unless otherwise provided herein, shall be paid in accordance
         with the terms of this Agreement to the devisee, legatee or other
         designee of Executive or, if there is no such designee, to the estate
         of Executive.

                  (g) NOTICE. For the purpose of this Agreement, notices and all
         other communications provided for in the Agreement shall be in writing
         and shall be deemed to have been duly given when delivered or mailed by
         United States registered mail, return receipt requested, postage
         prepaid, addressed to the following addresses:

                  If to the Company:

                  PRI Automation, Inc.
                  805 Middlesex Turnpike
                  Billerica, MA  01821
                  Attention:

                  If to the Employee:

                  4 John Benson Road
                  Lexington, MA  02173

                  (h) LEGAL FEES AND EXPENSES. The Company shall reimburse
         Executive on a quarterly basis for all costs and expenses incurred by
         Executive to enforce or protect his rights under this Agreement
         (including fees and expenses incurred in connection with an
         arbitration) unless it shall ultimately be determined by a final
         judgment of an arbitrator or a court of competent jurisdiction that
         Executive was without any justification for commencing or continuing
         any such arbitration,


                                       6
<PAGE>


         action or proceeding, in which case Executive shall repay to the
         Company any amounts of reimbursement paid and in the event of an
         arbitration, shall also pay one half (1/2) of the fees of the
         arbitrator.

                  (i) This Agreement shall be governed by, and construed and
         enforced in accordance with, the substantive laws of The Commonwealth
         of Massachusetts, without regard to its principles of conflicts of
         laws.

         IN WITNESS WHEREOF the Employee has executed this Agreement, and the
Company has caused this Agreement to be executed by a duly authorized officer,
as of the date first above written.

                                           PRI AUTOMATION INC.


                                           By: /s/ Mitchell G. Tyson
                                               --------------------------------
                                               Mitchell G. Tyson, President and
                                               Chief Executive Officer


                                           /s/ Mordechai Wiesler
                                           ------------------------------------
                                           Mordechai Wiesler



                                       7