Read the text and match the headings below to each of the parts in the text.Employment Contracts and Compensation Agreements
Most employment contracts have
common elements such as the employee's start date, salary, and benefits.
Other provisions that often appear in employment contracts are listed here, so
that you can think about what kind of employment contract is agreeable to you
before you sign your next employment agreement. An employment law attorney can
advise you about the pros and cons of agreeing to the various provisions, and
may also suggest other terms to include.
пусто An employee confidentiality agreement is a contract (or part
of a contract) in which the employee promises not to share any information
about the details of the employer's business or the employer's secret
processes, plans, formulas, data, or machinery. Usually a confidentiality
agreement lasts even after the employee no longer works for the employer.
пусто In the noncompetition clause, the employee agrees that for a
certain amount of time after he or she stops working for the employer, the
employee will not become employed by a rival company or any company engaged in
a similar type of business, and the employee will not set up a company that
will compete with the employer's business (or solicit the employer's
customers). Usually the noncompetition clause is limited to a particular
geographic area.
пусто This provision applies to employees who invent things as part
of their jobs. In this part of the contract the employee agrees that anything
he or she invents at work (or during a set period of time after termination)
becomes the employer's invention, not the employee's own invention.
Additionally, employees usually agree to assign their inventions to the
employer, cooperate with the employer in getting inventions patented, and keep
information about the invention confidential like any other trade secret.
In return, sometimes the employer agrees to share with employee-inventors a
percentage of the royalties paid for inventions.
пусто Although
it is often just assumed that the employee will work hard for the employer,
sometimes employers add a best-efforts provision to the employment
contract. It states that the employee promises to work to the best of his
or her ability, and to be loyal to the employer. Sometimes it also states that
the employee specifically agrees to make suggestions and recommendations to the
employer that will be of benefit to the company.
пусто In this provision, the employee promises that as long as he or she works for
the company the employee will not work for anyone else in the same or similar
type of business. It may also extend to a promise not to be a shareholder
or director in a similar business, or even to provide services voluntarily to a
competitor business.
пусто The "no additional compensation" clause states
that if the employee becomes an elected director or officer of the company or
serves on a company managing committee, the employee will not be entitled to
additional compensation for doing that work.
пусто Sometimes this part of the contract is called the
"agency" provision. It makes clear that the employer and
employee have an employment relationship only, not an agency relationship; the
employee has no right to enter into a contract or otherwise obligate the
employer, unless the employer gives express written consent to do so.
пусто A
standard part of any employment contract is the "termination"
clause. It states that either party may terminate the employment contract
for any reason by giving a certain amount of notice, such as two weeks'
notice. It may also give the employer the right to just terminate the
contract without notice if the employee violates the contract in any way.
Another aspect of the termination clause is a statement that the employer has
the right to terminate the contract if the employee becomes permanently
disabled because of ill health or physical or mental disability such that the employee
can no longer do the job.