A Brief Overview of the Employment Contract Volume 5 - No.501 by Owen Seitel, Esq. Written employment contracts have traditionally been the domain of large corporations and high level executives in tailored suits. The success of many such companies is now well documented, as are the riches secured by talented individuals who have tied their compensation to the success of these companies and obtained millionaire status without ever having to don a business suit.
Employment contracts provide significant benefits to both employers and employees.
A concise employment contract provides a greater degree of certainty for both parties by clearly defining the significant aspects of the employment, such as duties, compensation, length of employment, and appropriate situations for termination or resignation prior to expiration of the contract. However, the at-will doctrine is rife with exceptions, creating uncertainty and often leading to litigation following a termination or resignation. The contents of an employment contract will vary with the specific needs of a company and the employee. For example, the issues of concern to a five-person software start up seeking to secure the services of an engineer to oversee the beta testing stage and finalize the first version of a software package will differ greatly from the needs of an already successful multimedia company hoping to secure the services of a top level marketing manager. Below we will briefly look at each of these provisions.