What to Include in Employment Agreements
While Texas is an “at will” state concerning the termination of employees, it is still considered in the best interest of both the employer and employee to have a written employment agreement clearly delineating the reasons an employee can be terminated. The employment agreement protects both the employer and the employee should a conflict arise.
Critical information to include in employment agreements include:
- Salary or rate of pay
- Expected work hours and any agreed-upon changes to a normal schedule
- Number of vacation hours/days
- Number of sick days
- When vacation days begin to accrue
- When sick days begin to accrue
- Overtime pay agreements
- Employment location
- When the employee may be eligible for salary or pay rate increase
- Date employment is effective
Company handbooks can also be used as an employment agreement between an employer and employee when it includes company policy related to termination, vacation, sick days, etc., and is provided to each employee. The handbook can be used as a binding agreement in a Texas court.
Financial Loss from Breach of Employment Agreements
If an employee finds it impossible to reach a resolution with an employer after a breach of contract has occurred, and they decide to attempt legal action against their employer, they must be able to prove that the breach caused financial loss if they wish to receive financial compensation.
Hiring employees using a written employment agreement can save a company thousands of dollars in legal fees and avoid the stress of litigation.
Labor Law Representation in Dallas
Contact a Dallas labor attorney at Campbell & Associates Law Firm, P.C. for questions regarding your company employment agreements.