Employees are often asked to sign a contract with their employer at the beginning of the employment relationship. But it’s important to understand that you don’t have to execute a written contract without knowing what you are agreeing to — you have a right to review the document and negotiate the terms. Employment contracts can be complex and there are several do’s and don’ts to consider when it comes to negotiating them.
An employment contract is an agreement that the employer and employee enter into to make sure they have a clear understanding of each other’s expectations and responsibilities. These documents can come in various forms and are tailored to different employment arrangements. However, there are certain terms every employment contract should include.
An employment contract will typically contain the following provisions:
Notably, an employment contract establishes legal obligations for both the employee and employer. While Ohio is an at-will employment state, which allows for the termination of the employment relationship at any time (as long as the reason for firing is not discriminatory), the provisions in an employment contract can override this principle.
When you’re engaging in employment contract negotiations, there are a few “do’s” to keep in mind. These following “do’s” can help ensure you enter into an employment agreement that suits your needs and ensure the best possible terms are reached:
If someone has made you a job offer, it’s crucial to first prioritize the aspects of the agreement that matter the most to you, whether it’s the compensation, benefits, opportunities for professional advancement, or other perks. Take the time to understand the entire package to help ensure you remain focused in your negotiations.
Do your research on the salary range and benefits associated with the position — as well as your level of experience. Having this information can give you the knowledge and leverage you need when it comes to negotiating these issues.
During employment contract negotiations, do be willing to compromise. While ensuring your interests are protected during the negotiation process, you should also be willing to work with your employer to find creative solutions in order to reach a satisfactory agreement for both parties.
An employee should always emphasize their skills and qualifications in an employment contract negotiation to demonstrate the value they will bring to the company. It’s critical to provide the company with examples of your achievements to show what you can bring to the company, and how your experience aligns with its values.
Once you’ve negotiated the employment contract, make sure that the terms and conditions are in writing. Review the contract thoroughly with an attorney to ensure it accurately reflects the provisions that were negotiated before you sign the document.
While there are certain “do’s” when negotiating an employment contract, there are also many “don’ts.” When you’ve been presented with an employment contract, it’s essential to take a step back — don’t rush to sign the document right away. There are a variety of factors that you must consider before accepting the agreement including the following:
When negotiating an employment contract, asking for higher pay is the first thing most people think of. Although you should consider the salary being offered when you are in an employment contract negotiation, the compensation is just one component of the agreement that should be negotiated. You should also evaluate the health benefits, paid time off, opportunities for career development, and other perks.
Employees should not assume that anything is non-negotiable during employment contract negotiations. Many aspects of an employment agreement are open to negotiation, including the working hours, fringe benefits, non-compete disclosures, duration of employment, and even the job responsibilities.
One of the most common mistakes employees make when negotiating an agreement with their employer is being too demanding. Although the agreement should uphold your best interests, you don’t want to damage the relationship with your future employer. The outcome reached in negotiations should strike a balance for both parties.
Maintaining a strong stance during employment contract negotiations is important. However, when considering your priorities, you shouldn’t overlook the alternatives. If you cannot reach an agreement regarding every point with your employer, you can know that you will reach a fair compromise.
Negotiating an employment contract is both an art and a science — and reaching the best possible results will take some time. Your employment contract can have serious implications for your career and long-term ramifications for your professional goals. Don’t feel rushed or pressured into signing the agreement before you have reached a satisfactory conclusion.
If you are considering whether you should accept a job offer, it’s vital to have a skillful employment attorney to guide you through the employment contract negotiation process. Located in Westlake and providing reliable representation to clients throughout Ohio, employment law attorney Chris Lalak works to obtain the best possible outcome for each of his clients. Contact Lalak LLC today to schedule a free, confidential, no-obligation consultation and learn how we can help.
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