Simple Employment Agreement Template
EMPLOYMENT AGREEMENT
This Employment Agreement (the "Agreement") takes effect on [Effective Date] (the "Effective Date").
This Agreement is between:
[Employer Legal Name], a [type of legal entity] registered under the laws of [jurisdiction], with registration number [registration number] and its main office at [Employer address] (the "Employer"); and
[Employee Full Name], residing at [Employee address], with identification number [ID or tax number, if applicable] (the "Employee").
The Employer and the Employee are each a "party" and together the "parties".
Background: The Employer runs a business in [describe business or industry] and wants to hire the Employee in the role described in this Agreement. The Employee has the skills and experience needed for the role and wants to work for the Employer. The parties are signing this Agreement to set out the terms of the Employee's employment.
Job Title and Duties
The Employer employs the Employee in the full-time position of [Job Title]. The Employee will report to [Title of Manager] or to any other person the Employer names from time to time.
The Employee's main duties are [brief description of main duties]. The Employee will also carry out any other reasonable duties that the Employer assigns and that fit the Employee's skills and position.
The Employer may reasonably change the Employee's title, reporting line or duties to meet business needs. Any such change will not reduce the Employee's base salary.
The Employee must do the job carefully, honestly and to the best of their ability. The Employee must follow the Employer's lawful instructions and all of its policies and procedures, as updated from time to time. These policies are not part of this Agreement, and the Employer may change or withdraw them at any time.
While employed, the Employee must give their full working time and attention to the Employer's business. The Employee may not take on any other paid or unpaid work, business or board role without the Employer's prior written consent. This does not apply to passive investments of up to [percentage]% in a publicly traded company.
The Employee must tell the Employer promptly and in writing about any personal interest, relationship or activity that conflicts, or could appear to conflict, with the Employer's interests.
The Employee confirms that taking this job does not break any agreement with a former employer or any other person. The Employee will not bring to the Employer, or use in their work, any confidential information belonging to anyone else.
Start Date and Place of Work
The Employee's employment starts on [Start Date] (the "Start Date"). Any prior period of employment with the Employer [does / does not] count toward the Employee's continuous service.
The job offer and this Agreement depend on the Employee providing proof of their legal right to work and [any other conditions, such as satisfactory references, background check or required licenses], to the extent the law allows. If any condition is not met, the Employer may withdraw the offer or end the employment immediately.
The first [number] months of employment are a probation period. During probation, the Employer will assess the Employee's performance and suitability. The Employer may extend probation once by up to [number] months by giving the Employee written notice before the original period ends.
The Employee will mainly work at the Employer's premises at [workplace address].
The Employer may require the Employee to work at another location within [distance or area] of the current workplace if the business needs it. The Employer will give reasonable advance notice of any permanent move.
The Employee may need to travel for work from time to time, both within and outside [country or region]. Approved travel costs will be covered under the expenses terms of this Agreement.
The Employee may only work remotely if the Employer approves this in advance and in writing. The Employer may withdraw that approval at any time.
Confidentiality and Company Property
"Confidential Information" means any information, in any form, that is not public and that relates to the Employer, its group companies, clients, suppliers or business partners. It includes business plans, finances, pricing, client and supplier lists, sales data, software, technical data, know-how, trade secrets, employee information and any information marked or reasonably understood to be confidential. It does not include information that becomes public through no fault of the Employee.
During and after employment, the Employee must keep all Confidential Information secret. The Employee may only use it to do their job for the Employer and may not share it with anyone except where the Employee's duties require it.
The Employee may disclose Confidential Information if a law, court or government authority requires it. Where the law allows, the Employee must tell the Employer first so the Employer can take steps to protect the information. Nothing in this Agreement stops the Employee from reporting possible wrongdoing to a government authority, or from making any other disclosure that the law protects.
All work, ideas, inventions, designs, software, documents and other materials that the Employee creates, alone or with others, in the course of employment or using the Employer's resources ("Work Products") belong to the Employer. To the extent the law allows, the Employee assigns all rights in Work Products to the Employer, waives any moral rights in them, and will sign any documents the Employer reasonably requests to confirm or register these rights.
All equipment, devices, keys, cards, documents, files, data and other items that the Employer provides, or that the Employee creates for the Employer, are the Employer's property ("Company Property"). The Employee must take good care of Company Property, use it only for work, and keep it secure.
The Employer may monitor, access and review its systems, devices, email and other communications tools, to the extent the law allows. The Employee should not expect any privacy when using them.
The Employer will collect and use the Employee's personal data to manage the employment relationship, in line with applicable data protection law and its privacy notice.
Working Hours
The Employee's normal working hours are [number] hours per week, from [day] to [day], between [start time] and [end time], with an unpaid meal break of [duration] each day.
The Employer may change the Employee's work schedule to meet business needs. Where possible, it will give the Employee reasonable advance notice.
The Employee may need to work extra hours beyond normal working hours when the business needs it. Overtime must be approved in advance by the Employee's manager, unless there is an emergency.
The Employee will be paid for approved overtime, or given time off in lieu, only as required by applicable law. If the law does not require overtime pay for the Employee's role, the Employee's salary covers all hours worked.
The Employee must accurately record their working time in the way the Employer requires.
The Employee will receive the rest breaks and rest periods that applicable law requires.
Salary and Benefits
The Employer will pay the Employee a gross base salary of [amount] [currency] per [year / month] (the "Salary"). The Salary is paid in [monthly / twice-monthly] installments in arrears, by bank transfer to the account the Employee names.
The Employer will deduct from the Salary and any other payments all taxes, social security contributions and other amounts that the law requires or that the Employee agrees to in writing.
The Employer will review the Salary [once a year / at its discretion]. A review does not mean the Salary will be increased.
The Employer may, at its sole discretion, pay a bonus based on company and individual performance. Any bonus is not guaranteed and does not create a right to future bonuses. Unless the law requires otherwise, the Employee must be employed and not under notice of termination on the payment date to receive a bonus.
The Employee may take part in the Employer's benefit programs available to employees at the same level, such as [health insurance, retirement plan, other benefits], subject to the rules of each program. The Employer may change, replace or end any benefit program at any time.
The Employer will reimburse reasonable business expenses that the Employee properly incurs in their work, as long as the Employee follows the Employer's expense policy and provides receipts.
If the Employee owes the Employer any money, including overpaid salary or expenses, advances or loans, the Employer may deduct it from any amount it owes the Employee, to the extent the law allows.
General Terms
This Agreement contains the full agreement between the parties about the Employee's employment. It replaces any earlier offers, promises or arrangements, whether written or spoken.
Any change to this Agreement is only valid if made in writing and signed by both parties. Changes the Employer is allowed to make under this Agreement are an exception.
If any part of this Agreement is found invalid or unenforceable, the rest of the Agreement stays in force. The invalid part will be changed to the minimum extent needed to make it enforceable.
If a party does not enforce a right, or delays enforcing it, this does not mean the party has given up that right.
The Employer may transfer this Agreement to any company in its group, or to a buyer of all or part of its business. The Employee may not transfer this Agreement or any rights or duties under it.
Notices under this Agreement must be in writing and delivered by hand, by courier, or by email to the addresses in this Agreement or any new address a party provides. An email notice is received on the next business day after it is sent, unless the sender receives an error message.
Any terms that by their nature should continue after the employment ends will remain in force, including the terms on confidentiality, company property and post-employment restrictions.
The parties may sign this Agreement in separate copies and electronically. All signed copies together form one agreement.
Governing Law and Dispute Resolution
This Agreement is governed by the laws of [jurisdiction].
If a dispute arises from this Agreement or the employment, the parties will first try to settle it in good faith through the Employer's internal grievance process.
If the dispute is not resolved within [number] days after it is raised in writing, either party may take it to [the courts of [location] / arbitration under the rules of [arbitration body] in [location]]. These have exclusive jurisdiction, unless applicable law gives the Employee a mandatory right to go to another forum.
The Employer may apply to any court with jurisdiction for an urgent order, such as an injunction, to stop or prevent a breach of the terms on confidentiality, company property or post-employment restrictions. The Employee agrees that money alone may not be enough to make up for such a breach.
While a dispute is ongoing, the Employee must continue to perform their duties unless the employment has ended.
Leave and Time Off
The Employee is entitled to the minimum paid annual leave required by applicable law. Leave builds up during each leave year, which runs from [start date] to [end date].
The Employee must request leave at least [number] weeks in advance, and the Employee's manager must approve the dates. The Employer may refuse or move leave dates for business reasons.
The Employer may require the Employee to take leave on certain days, including during any office shutdown, by giving the notice the law requires.
Unused leave cannot be carried over into the next leave year or paid out, except where the law requires it.
When the employment ends, the Employer will pay for accrued but unused leave only to the extent the law requires. If the Employee has taken more leave than they have earned, the Employer may deduct the value of the extra days from the final pay, to the extent the law allows.
Public holidays will be given in line with applicable law and the Employer's holiday calendar.
If the Employee cannot work because of illness or injury, they must tell their manager as early as possible on the first day of absence. For absences longer than [number] days, the Employee must provide a medical certificate. Sick pay will be paid as required by applicable law and any sick leave policy the Employer has.
Other types of leave, such as parental, family, bereavement or jury service leave, will be given as required by applicable law and the Employer's policies.
Ending the Employment
This Agreement is for an indefinite period. It continues until either party ends it under this section.
During probation, either party may end the employment by giving [number] [days / weeks] written notice to the other, or any longer notice the law requires.
After probation, the Employee may end the employment by giving at least [number, for example 4] weeks written notice. The Employer may end the employment by giving at least [longer number, for example 8] weeks written notice. Where the law requires a longer notice period for either party, the longer period applies.
The Employer may decide to end the employment immediately and pay the Employee their base Salary for all or part of the notice period instead of having them work it.
During all or part of any notice period, the Employer may tell the Employee not to come to work, not to perform some or all duties, and not to contact clients, suppliers or colleagues. During this time, the Employee will continue to receive their Salary and benefits and remains bound by all duties under this Agreement.
The Employer may end the employment immediately, without notice or pay instead of notice, if the Employee commits serious misconduct, to the extent the law allows. Serious misconduct includes dishonesty, fraud, theft, violence, harassment, serious or repeated breach of this Agreement or the Employer's policies, gross negligence, being under the influence of alcohol or illegal drugs at work, or any conduct that seriously harms the Employer's reputation or business.
When the employment ends for any reason, or earlier if the Employer asks, the Employee must immediately return all Company Property and Confidential Information in their possession. The Employee must also permanently delete any copies kept on personal devices or accounts and confirm in writing that they have done so.
On the termination date, the Employee must resign from any office or position they hold in the Employer or its group companies.
The Employer will pay all amounts owed to the Employee up to the termination date within the time the law requires, less any lawful deductions.
Restrictions After Employment Ends
The restrictions in this section apply for a period of [number] months after the employment ends (the "Restricted Period"). If the Employer places the Employee on non-working notice, the Restricted Period will be reduced by the length of that non-working period.
During the Restricted Period, the Employee must not, directly or indirectly, work for, provide services to, own or help any business that competes with the Employer's business in [describe restricted area or territory]. This applies only to businesses dealing in [describe competing products or services] and to activities similar to those the Employee carried out in the last [number] months of employment. This does not apply to passive investments of up to [percentage]% in a publicly traded company.
During the Restricted Period, the Employee must not, directly or indirectly, approach, solicit or deal with any client or prospective client of the Employer with whom the Employee had material dealings, or about whom the Employee received Confidential Information, in the last [number] months of employment. This applies where the purpose is to provide competing products or services or to reduce that client's business with the Employer.
During the Restricted Period, the Employee must not, directly or indirectly, solicit, hire or try to hire any employee or contractor of the Employer with whom the Employee worked in the last [number] months of employment. The Employee must also not encourage any such person to leave the Employer.
Where applicable law requires the Employer to pay compensation for a non-compete restriction, the Employer will pay [amount or method of calculation] for the Restricted Period. The Employer may, by written notice given before or on the termination date, release the Employee from the non-compete restriction in whole or in part, to the extent the law allows. Any compensation will then be reduced or will not be payable, as applicable.
Before accepting any new job or business role during the Restricted Period, the Employee must give a copy of this section to the new employer or business partner. The Employee must also tell the Employer the identity of that new employer or business partner.
The Employee agrees that these restrictions are reasonable and necessary to protect the Employer's Confidential Information, client relationships and workforce. Each restriction is separate. If a court finds any restriction too broad, it will apply with the minimum changes needed to make it enforceable.
Signed by the parties on the dates below.
EMPLOYER
[Employer Legal Name]
Signature: [signature]
Name: [Authorized Signatory Name]
Title: [Authorized Signatory Title]
Date: [date]
Address: [Employer address]
Email: [Employer email]
EMPLOYEE
Signature: [signature]
Name: [Employee Full Name]
Date: [date]
Address: [Employee address]
Email: [Employee email]