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    • Warren P. Gammill
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Are employee contracts a good idea for my company?

On behalf of Warren Gammill & Associates, P.L. | Mar 20, 2016 | Contract Disputes

If you own or run a company, you know how critical it is to employ and retain good workers. But in today’s competitive marketplace, the very best people will always be in demand and have ample career opportunities. That’s why employers sometimes opt to contractually secure the services of a valued employee.

Employee contracts can be extremely beneficial in situations where a company invests a considerable amount of money, effort and time in training an employee. A contract can include terms stating a specific time frame for which a company will employ a worker.

Moreover, highly sought after workers may receive contract offers from multiple companies. You can include incentives in your contracts to lure such desirable employees to work for your company.

But in some circumstances, employee contracts can work against an employer’s best interests. For example, if you contract an employee to work on a project for a year, but the project ends or shuts down after only a couple of months, you may be looking at a renegotiation situation.

And remember, a contract is a legally binding document that offers both parties protections against breaches. If you should breach the contract, or fail to act in a manner of good faith, you could face legal consequences.

If you are thinking about offering some of your potential employees contracts, you may first want to discuss the matter with an experienced contract attorney. The attorney could look over the terms you are considering offering and advise you on the potential merits and drawbacks of the agreement. Such advice could help you avoid contract disputes and litigation in the future.

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