What to Know Before Signing Your Employment Contract

What to Know Before Signing Your Employment Contract
Photo by Gabrielle Henderson on Unsplash

ExecutiveChronicles | What to Know Before Signing Your Employment Contract | After a long job search and multiple interviews, you’ve finally received an offer and your employment contract. Congratulations! But before you sign on the dotted line, you should check a few things first. Or better yet, get a lawyer to review the contract for you.

Reading through and understanding your written employment contract in Arizona is a step you shouldn’t skip. Although the details and stipulations of your employment will vary from company to company, here’s everything you need to double-check before signing your new employment contract.

Job Title and Duties

When you review your employment contract, understand your job title and duties; both should match the description in the original job posting.

While finding a different job title and duties in your employment contract is unusual, you should ensure you are being hired for the position you applied to and interviewed for. If you notice discrepancies, you should contact the HR or hiring manager to discuss them before signing the contract – especially if the changes don’t align with your qualifications.

Salary and Benefits

The remuneration package in your employment contract should be identical to the one offered in your job offer letter. You should also double-check the payment method and when you can expect to be paid.

The company might also offer a comprehensive benefits package if you are a permanent employee. In this case, you may be entitled to healthcare insurance, pension, or other benefits. You might also be eligible for a bonus package in your new role.

The Start Date and Working Hours

If you’re leaving your current job for a new position, check the start date on your employment contract and ensure there is enough time for you to give your notice at your current job.

When you’ve double-checked the start date and determined there is no clash between your current job and your new job, you should also look at your required working hours. Your working hours should meet your expectations and be consistent with what you discussed during the job interview. If you are a contractor, you don’t have to worry too much about the working hours because you’ll manage your own time.

Sick Leave and Holiday Pay

While working at your new job, it’s reasonable to expect that you’ll be permitted to take breaks and holidays. Before signing the contract, review the hours and days you’re allowed for holiday periods. Another thing to check is if the company limits when you can take vacations. Usually, you’ll need to use your accumulated days off within 12 months.

Regarding sick leave, the law dictates the minimum number of days you’re allowed to take as paid time off  if you’re ill. However, you may not qualify for paid leave or benefits if you are a contractor.

Restrictive Covenants

Before signing, you must familiarize yourself with any restrictive covenants stipulated in your employment contract. Restrictive covenants are usually put in place to protect the business’ interests.

Non-compete, non-solicitation, non-poaching, and non-dealing clauses are all restrictive covenants. Read the contract carefully to see if it specifies the terms – including the geographic location, roles, and industries you’ll be restricted from working in when you leave the company. You should also make sure that any restrictive covenants won’t affect your job opportunities in the future.

Photo by Gabrielle Henderson on Unsplash