Contract negotiations and drafting

An employment contract is the essential basis of a good relationship between the employee and the employer. It will set out the employee’s rights and obligations so that both employee and employer understand exactly what is expected from the employment relationship. Having the right employment contract in place will go a long way to avoiding misunderstandings and disagreements in the future.

At Empleo, we have experience in reviewing and negotiating complex employment contracts. We can make sure that employees understand the implications of signing and that their interests are protected as far as possible.

We can negotiate with the employer on the employee’s behalf to ensure that the employee receives the best deal possible and that all of the benefits expected to be received are included, negotiating things such as salary and benefits, such as paid time off, health insurance and flexible hours.

In negotiations, the employees are entering into a preliminary dialogue to evaluate the employee’s fit for the position and what the employee will get in return. This is a two-way exercise, as the potential employer is in the same position, evaluating how the employee will fit into their company culture, day-to-day operations and overall strategy.

How does negotiation occur?

Negotiations usually occur in four stages: preparation, drafting, negotiation and conclusion.

In the first stage, Empleo will help employees gather information about the employer, salary, relevant benefits, vacation and contract terms such as non-disclosure agreements. This will give the employee a clear picture on what the employee considers important and what the employee can be flexible about and can reach compromise with the employer.

The draft contract should generally be presented to employee by the potential employer providing certain terms and conditions within the contract. Some employment contracts are generally standard without the need to change much however an employee may consider other items that are important and terms that may need to be avoided. At this stage of negotiation, the process is a collaborative one and may be key in ensuring that employees terms are agreed to by the employer, as long as these are reasonable and within acceptable standards.

In the final stage, an agreement is reached, signed by both agreeing parties who are equally bound by the law to fulfil such a contract. The importance of drafting a good contract must not be underestimated, as the employee’s future employment will determine a good portion of your life.