Never Sign an Employment Contract Without Legal Review!
Clients often tell me that they wish they knew what they signed. They felt under pressure to sign the contract. When they get let go – they realize how oppressive the contract really was. The truth is signing an employment contract without a thorough review by an employment lawyer can have serious consequences. Therefore, getting legal advice is essential.
The Increasing Aggressiveness of Employment Contracts
In today’s job market, employers are becoming more strategic in their use of employment contracts. Though they may seem like mere formalities, these agreements are often crafted to protect the organization’s interests and gain leverage over employees. Moreover, these agreements are created to make sure companies don’t lose a lot of money when they fire you.
The Risks of Signing Without Review
Signing an employment contract without a professional review can lead to several problems, including:
- Financial Loss: A poorly reviewed contract can end up costing you a lot of money, especially if it has clauses that reduce your severance pay or other benefits.
- Unwanted Changes: Contracts might include terms that let your employer change your job duties, pay, or work location without your approval.
- Loss of Basic Rights: You might accidentally give up your rights to vacation, holidays, and overtime pay.
- Restrictive Clauses: Non-compete and non-solicitation clauses can make it hard for you to find a new job after you leave the company.
Why You Need a Employment Contract Review
An employment lawyer will carefully examine every term and clause in your contract to ensure you fully understand what you’re agreeing to. Here’s how they can help:
- Spot Unfavorable Terms: Lawyers find any terms that are not in your favor and explain how they could affect you.
- Match Contract with Expectations: Make sure the contract matches all verbal agreements and your expectations.
- Negotiate Better Terms: Help you negotiate better terms, giving you a stronger position before you sign.
Key Points to Watch for in an Employment Contract
The most crucial aspect of an employment contract is the termination clause. Often, it limits your notice period to the minimum required by the Employment Standards Act (ESA), which is typically one week’s notice per year of service. Employers often include this clause to avoid the more generous notice periods mandated by common law. The difference between the ESA’s minimum notice and common law notice can amount to as much as 96 weeks of termination pay.
Additionally, it’s important to remember that you should receive your employment contract at the start of your new job, not later. If a contract is presented after you’ve already started working, it is generally unenforceable.
Conclusion
Signing an employment contract is a significant step in your career, but it should not be taken lightly. Protect yourself. Hence, have us review your contract. As the old saying goes: better to be safe than sorry.
