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Building an employment contract that works for your business

On Behalf of | Jul 6, 2022 | Business Formation & Planning |

When you decided to open a small business, you never thought you’d get to a point where you’d need to pay employees to work for you. You thought you’d always run the business on your own, but you were surprised when it took off and started doing much better than you thought it would.

Now, you need to start hiring to make sure your business runs smoothly, but how can you make sure that the people you bring into your company won’t hurt it? What can you do to enforce rules, like the uniforms you want people to wear or the penalties for missing work unexpectedly?

You need a solid employment contract

Before you hire anyone to work with you, you need a solid employment contract. Your employment contract should go over your rights as well as your employee’s rights, so they understand what is expected of them.

An employment contract thoroughly describes the relationship between yourself, your company, and your employee. It may go over factors such as:

  • Confidentiality agreements.
  • How long they’ll be employed.
  • General responsibilities.
  • Any benefits that you’re offering in exchange for working at the company.
  • The salary you’re offering.
  • The schedule the other person will work on.
  • Any basic responsibilities you’re requiring of the other party.

A good employment contract will make sure that all aspects of employment are covered and that there are no gray areas that could harm you or the employee.

Can you enforce a dress code at your business?

As a part of your employment contract, you might include a dress code. You’re allowed to do this, but remember that the dress code should be fair to your employee. If it is at all sexist or discriminatory, you could end up in trouble with the Equal Employment Opportunity Commission.

Before you hire an employee, it may be a good idea to go over your legal rights and responsibilities, so you’re sure everything you do is legal and within the bounds of the law. Doing this can help protect you and your business as you start hiring people to work for you.